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Chapter 8

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA FR Exams › Chapter 8

  • This topic has 1 reply, 2 voices, and was last updated 9 years ago by MikeLittle.
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  • August 9, 2016 at 9:38 pm #332284
    voudouri
    Member
    • Topics: 18
    • Replies: 12
    • ☆

    Chapter 8/example 3

    W3

    69000 and we add goodwill 77000,

    Could you please explain me why are we doing this!

    August 10, 2016 at 6:09 am #332303
    MikeLittle
    Keymaster
    • Topics: 27
    • Replies: 23335
    • ☆☆☆☆☆

    The figure is 690,000 and not 69000 as you have written! If you used commas to separate out the thousands you wouldn’t make silly mistakes like that which can be expensive in an exam situation!

    Why do we add goodwill? Because it’s negative! It’s a bargain purchase made by Linas when Linas acquired Asta for a knock-down price

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