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Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA SBR Exams › Deemed disposal-Piecemeal
-P acquires 30% holding in A for $1000.
-Further 40% acquired for $6000
(Fair value of previously held interest is $4000)
In question paper Investment in A is given at cost i.e 1000 (30%)+ 6000(40%).
When we assume disposal of previously held interest (30%), we compare fair value of 30% $4000 with (which of them?)
-Carrying amount of associate(cost+share of profits)
or
-Carrying amount in question at cost i.e $1000 for 30%
Hi,
We previously held 30% at a cost of 1000 so we would compare it to that figure.
Thanks
