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October 11, 2021 at 5:46 am
Dear Mr Moffat,
Can you please show us example for calculation of goodwill when the acquired company has negative equity?
John Moffat says
October 11, 2021 at 8:51 am
What on earth for? There would be no relevance at all for Paper FA.
January 3, 2021 at 3:57 pm
Thank you so much Mr Moffat you are so clear in your presentation.
October 31, 2019 at 3:47 pm
In Q4, why isn’t the fair value adjustment incorporated in your given solution?
December 16, 2019 at 11:13 pm
Because it is related to calculation of goodwill. It is a “trick” amount, given on purpose to make you think it is relevant. Retained earnings are calculated ALL of P’s + (Retained earnings of S – Pre Acquisition Retained Earnings).
July 23, 2019 at 10:19 pm
Sorry to bother again, I normally do 4 workings when it comes to group accounts, working 2 is Net Asset where add all pre-acquisition figures such as SC + RE+ NCI value at the acquisition date only to work out the Goodwill calculation, for Retained earnings “Working 5” i take the difference between pre and post acquisition percentage of holding (here 100%) plus parent earning to get the total group retained earnings.
July 24, 2019 at 6:57 am
You are correct, but again you have not said what question you are referring to and I have already explained about the fair value adjustment.
Again, have you watched the free lectures?
July 23, 2019 at 12:09 am
Am I missing something? I thought fair value adjustment should be included in the consolidated statement of financial position!!!
July 23, 2019 at 7:22 am
I do not know which question you are referring to.
However it seems that you are missing something – the fair value adjustment does not appear separately in the SOFP. The value non-current assets in the consolidated SOFP is adjusted by the fair value adjustment, and it is taken into account in calculating the goodwill arising on consolidation.
Did you watch the free lectures before attempting this test?
July 10, 2019 at 6:54 am
thank you sir moffat I got all questions…your vids are the best…
July 10, 2019 at 12:36 pm
Thank you for your comment 🙂
May 9, 2019 at 4:29 pm
I got all answer right. Thank you Sir John Moffat. Your technique about pre-acquisition,Good will arising are awesome and Easy. I think by using your this technique i will never be problem with pre-acquisition and good will arising in my life.
October 1, 2018 at 2:45 pm
What does it mean in Q2 ” the first value of non-current asset was 15K more then their carrying values”?
i could not get it
October 2, 2018 at 7:46 am
Sorry – it is a typing error and I will have it corrected.
It should read ‘the fair value’ (not ‘the first value’). Obviously the relevant of ‘the fair value’ is explained in the free lectures.
Thank you for bring the error to my attention.
October 2, 2018 at 9:51 am
Thank you so much for your help full and advantageous Lectures,Notes and comments. I learnt a lot.
October 2, 2018 at 2:58 pm
February 28, 2018 at 4:07 pm
I got all right!!!!!
February 28, 2018 at 4:18 pm
December 17, 2017 at 5:42 pm
I can’t see any questions
December 18, 2017 at 7:57 am
The test is working fine – try again 🙂
January 3, 2021 at 3:56 pm
Thank you so much Mr Moffat you are so clear in your presentation ??
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