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The question is about “goodwill expected to be recovered in another unit of parent”. What is it? Also when they say about alternative three for allocation of goodwill they use the next wording “if another unit of the controlling interest is expected to benefit from synergies of the combination, first assign the related goodwill to that other unit.” What they mean saying “another unit”, “first assign”, and “to that other unit”? Please explain these to me.
also would anyone examples the relative value method and relative carrying valu of goodwill method?
Just reading your post, may I suggest that “another unit” is referring to the possibility that another company within the group may benefit from these synergies you refer to? “First assign” is surely saying that the assignment of goodwill should be done in sequence, and first in that sequence is the assignment of goodwill to this other unit which is going to benefit from these synergies.
I think that I have answered “to that other unit”
It would have helped me to answer better your question if you had given me a reference so I could see the quotation in a wider context, but I think that I’ve answered it appropriately
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