IFRS 3 REVISED BUSINESS COMBINATIONS

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    rania
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    Goodwill can only be SUBJECTIVELY ESTIMATED. what does subjective estimation means?


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    abdulhanan
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    subjective means the thing that change with subject. for example if we take opinion of different people about a beauty of a picture. different people give different opinion. it means beauty is subjective thing, because it change with (subject )persons hear. in this way goodwill is subjective. one person can ask brand valve of cocacola is this and other person give different figure.


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    fairlygladys
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    how it will relates to consol questions?
    purchases consideration + deferred consideration – fair value of net assets = goodwill
    when sould we restated the goodwill? is it related to IAS 10 + IAS 8 ?


    Avatar of MikeLittle
    MikeLittle
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    Not IAS 8 but IFRS 10 yes. Fair value of consideration involves subjectivity as also does fair value of assets acquired as also does fair value of the non-controlling interest

    That’s why goodwill is subject to subjective estimate

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