Sir i have worked a question in the revision kit and there was a exchange gain arising on the translation of goodwill but this gain wasn't included in the consolidated retained earnings.
I am thinking regardless of whether the full or partial method of goodwill was used, any resulting exchange gain/(loss) on translating the "goodwill" would have been included in the consol retained earnings.
Kindly advise sir.
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Translation of a foreign subsidiary
Never mind sir, the gain on translation of the goodwill was included under the heading "consolidated translation reserve" i just located this.
But can this be reported under "group retained earnings" for the purposes of the exam?
7y ago#2Hi,
I think that now given the structure of the exam it would be expected to be shown separately, but if you didn't then you wouldn't lose a huge amount of marks.
Thanks
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