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Hi,
Is there a possibility to have an exam question on group structure where Parent and Subsidiary have acquired a sub-subsidiary in the same year at different dates (D shaped). Hence, different Retained Earnings at acquisition?Can you please advise how will goodwill, Consolidated RE and NCI will be structured (workings format)?
Thanks.
Hi,
I’ve not seen a question like it previously in the ACCA exams but if it were to appear then you would just analyse out the information in the net assets working (W2) in more detail by having additional columns for each acquisition date. The remaining working would then follow the same structure, with goodwill calculated from the day we gained control.
Thanks
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