On 31 December 20x8, A Ltd paid $330,000 to acquire 90% of B Ltd when the...

On 31 December 20x8, A Ltd paid $330,000 to acquire 90% of B Ltd when the fair value of B Ltd’s net assets was represented by share capital of $100,000 and retained profit of $100,000, except for an unrecognized brand-name that is deemed to have a fair value of $100,000. On this date, B Ltd’s share capital comprised 100,000 ordinary shares with a fair value of $3.30 per share.

Assume the group policy is to measure non-controlling interest at acquisition date based on its proportionate share of the fair value of identifiable net assets of subsidiaries acquired. In A Ltd’s 20x8 consolidated statement of financial position:

Non-controlling interest = $

Goodwill on consolidation = $

Assume the group policy is to measure non-controlling interest at acquisition date based on its fair value. In A Ltd’s 20x8 consolidated statement of financial position:

Non-controlling interest = $

Goodwill on consolidation = $

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