Yinhu Company pays HK$318,000,000 to purchase all the outstanding ordinary shares of Lia Corporation. At the date
Question:
Yinhu Company pays HK$318,000,000 to purchase all the outstanding ordinary shares of Lia Corporation. At the date of purchase, the net assets of Lia have a book value of HK$290,000,000. Yinhu’s management allocates HK$20,000,000 of the excess cost to undervalued land on the books of Lia. What should be done with the rest of the excess?
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The remaining excess of HK8000000 HK3180...View the full answer
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Somshukla Chakraborty
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I have completed my graduation and master's in history from Jadavpur University Kolkata,India in 2012 and I have completed my B.Ed from the same University in 2013. I have taught in a reputed school of Kolkata (subjects-History,Geography,Civics,Political Science) from 2014-2016.I worked as a guest lecturer of history in a college of Kolkata for 2 years teaching students of 1st ,2nd and 3rd year. I taught Ancient and Modern Indian history there.I have taught in another school in Mohali,Punjab teaching students from classes 9-12.Presently I am working as an online tutor with concept tutors,Bangalore,India(Carve Niche Pvt.Ltd.) for the last 1year and also have been appointed as an online history tutor by Course Hero(California,U.S) and Vidyalai.com(Chennai,India).
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Related Book For
Financial Accounting IFRS
ISBN: 978-1118285909
2nd edition
Authors: Jerry J. Weygandt, Paul D. Kimmel, Donald E. Kieso
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