- This topic has 1 reply, 2 voices, and was last updated 8 years ago by
.
- Posts
Hy
Sir i just want to ask what is measurement period adjustment,i do appreciate you if you clearify my problem that i,m just getting in dec 2014 question 1 adjustment no 2 and 3,in adjustment why revalauation decrease is added in goodwill and why 1$ is deducting from goodwill against contingent liability and why it is crediting $1.5m to NCI and $3.5m to retained earning.
Hi,
A measurement period adjustment is an adjustment to the net assets of the subsidiary whereby the initial values were based on estimates made at the date of acquisition that have subsequently changed within a year of the acquisition date. If any adjustments occur in this period we can adjust the net assets and ultimately the goodwill on acquisition.
If you look in the following link you can find the information you require from IFRS 3:
https://www.iasplus.com/en/standards/ifrs/ifrs3
Thanks
- You must be logged in to reply to this topic.