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Dear Tutor,
in the Question 1 from the june 2015 exam Kutchen sold the holding in Niche (full disposal). NCI is proportionate. Could you please explain why goodwill is not grossed-up when we calculate the gian/loss on disposal?
Thank you.
Hi,
It is because the net assets that have been deducted have been calculated based on our share of the net assets and so the goodwill deducted should be our share only too.
Thanks
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