why does fair value seeking for an acquisition?

Q: How will we recognise any fair value gain arising from a change in fair value of an investment…

A: Investment Property:   An investment property is a property in the form of land or building that are…

Q: What costs should be capitalized for a self constructed asset?

A:

Q: What are the Criteria of “Creditable Acquisitions” Please describe!

A: There are many factors that determine if an acquisition is a creditable one or not and for which we…

Q: Discuss the difference between an unrealized holding gain and a realized gain.

A: The gain is the excess of revenue earned over the expenses incurred.

Q: fair value model for investment property differ from the revaluation model for PPE

A: Fair value model and revaluation model are methods of valuation of non-current assets as per…

Q: What is meant by depreciable base? How is it determined?

A: Depreciable base: The word depreciable base is used to depict the value that is divided by the…

Q: what are some pros and cons of holding high level of current assets in relation to sale?

A:

Q: When using the fair value method, we adjust the reported amount of the investment for changes in…

A: The sales price agreed by the buyer and seller is termed as Fair value assuming both parties are…

Q: What is the cost of right of use asset? 2. What is the gain on right transferred to the…

A: Cost of right of use asset 1468000 Gain on right transferred to buyer-lessor 533000

Q: What is the treatment of any gain on a subsequent increase in the fair value less cost of disposal…

A: Subsequent will increase in truthful price. A gain for associated consequent increase in truthful…

Q: Explain Valuation and how can it be useful for determining

A: Valuation is to know how much is assets worth according to market or deciding fair value of assets.…

Q: Are Inventories depreciable property? Why?

A: Depreciable property means an asset which is eligible to book depreciation for accounting and tax…

Q: hat situational circumstances can the Asset-based valuation be

A: Valuation is the process of determining the fair market value of a company's assets or operations.…

Q: How should goodwill be amortized?

A: Goodwill is an example of intangible assets which has no physical identity.

Q: CONSOLIDATED STATEMENTS OF FINANCIAL POSITION ASSETS Current Assets Cash and cash equivalents Trade…

A: It is the estimated worth of an asset or liability on the open market under ideal conditions. It is…

Q: Why does the so-called distressed property situation exist?

A: Distressed property refers to those which have value less than the market value. This situation…

Q: What is the goodwill arising from the acquisition?

A: A business combination occurs when an entity acquires control over an organization. Asset purchases…

Q: can goodwill be amoritized?

A: Goodwill: Goodwill is an intangible asset to the company. However, goodwill is recorded in the books…

Q: What are the three types of valuation techniques can be used to measure fair value?

A: Fair value: Fair value refers to the amount receivable from sale of an asset, or payable on…

Q: HIJ and KLM exchanged equity interest resulting to HIJ obtaining control over KLM. Relevant…

A: After Consolidation: The increase in identifiable assets is 3,600,000-2,200,000= 1,400,000. The…

Q: What would the result of Capitalizing the purchase cost over time?

A: Capitalized Cost: A type of expense that is added or included in the cost basis of a non-current…

Q: How do you determine the basis of acquired property in a like-kind exchange?  Give an example

A: Exchange of like-kind business/investment real property - The gain or loss on exchange of kind" real…

Q: s it true that legal enforceability of a right, for example ownership, is necessary for control over…

A: Legally enforceable right states that the right to set off need to be contingent on the future event…