- This topic has 3 replies, 2 voices, and was last updated 1 year ago by .
Viewing 4 posts - 1 through 4 (of 4 total)
Viewing 4 posts - 1 through 4 (of 4 total)
- You must be logged in to reply to this topic.
Congratulations to Jamil from Pakistan and Jeeva from Malaysia - Global Prize winners!
see all ACCA December 2022 Genius Hunt Competition winners >>
Specially for OpenTuition students: 20% off BPP Books for ACCA & CIMA exams – Get your BPP Discount Code >>
Forums › ACCA Forums › ACCA FR Financial Reporting Forums › goodwill
Why is negative goodwill credited to the statement of profit & loss?
Someone, please explain in simple words.
It’s basically because the parent has effectively obtained something for less than its book value ( a bargain purchase) and so this gain is recognised as profit in income statement. Hope this helps.
okayyyy, thank you.
You are welcome.