Q3c sep 2016

Hello

1.The answer mentions that if Evolve uses the cost basis then the potential gain should not have been recorded in th p & l or added to the cost of the asset. My question is where should it have been recorded? …woukd it have been part of the goodwill calculation since Monk was purchased?

2.if the i.p. alone was purchased, how would the gain be recorded? Im thinking the gain wouldnt be recorded since its nit a business combination.