Calculate the goodwill on consolidation from the information below:Parent’s cost of investment in subsidiary299,700Net asset at acquisition date (parent)986,600Net asset at acquisition date (subsidiary)345,800Fair value of non-controlling interest at acquisition date 169,500Net asset at reporting date (subsidiary)316,400Parent has 80% interest in subsidiary Impairment of goodwill62,200

Goodwill is an intangible asset which may be purchased or self-generated. It also arises when the…

Answered: Calculate the goodwill on consolidation…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Related questions

Concept explainers

Question

Calculate the goodwill on consolidation from the information below:

Parent’s cost of investment in subsidiary	299,700
Net asset at acquisition date (parent)	986,600
Net asset at acquisition date (subsidiary)	345,800
Fair value of non-controlling interest at acquisition date	169,500
Net asset at reporting date (subsidiary)	316,400
Parent has 80% interest in subsidiary
Impairment of goodwill	62,200

Expert Solution

Step by step

Solved in 2 steps with 1 images

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.

Similar questions