Calculate and enter the amount of goodwill
On 1 July 2014 Chloe Ltd acquired all the shares in Lola Ltd for $955,000. At this date the shareholders’’ equity of Lola Ltd consisted of
|
Share capital |
$225,000 |
|
General reserve |
$196,000 |
|
|
$205,000 |
At 1 July 2014, the carrying amounts of all identifiable assets of Lola Ltd were equal to fair value with one exception. An item of Plant has a cost of $125,000 and an
An impairment loss of $88,000 relating to
Calculate and enter the amount of goodwill in the answer block below:
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