Describe accounting for business combinations. - Business combinations can occur through either an asset or share acquisition.

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Describe accounting for business combinations.

- Business combinations can occur through either an asset or share acquisition.

- The business combination is recorded at the cost of acquisition, without regard to the seller's book value of assets or liabilities.

- The excess of acquisition cost over the fair value of identifiable net assets is recorded as goodwill.

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Related Book For book-img-for-question

Cornerstones Of Financial Accounting

ISBN: 9780176707125

2nd Canadian Edition

Authors: Jay Rich, Jefferson Jones, Maryanne Mowen, Don Hansen, Donald Jones, Ralph Tassone

Question Posted: Jun 10, 2024 01:20 AM

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Describe accounting for business combinations. - Business combinations can occur through either an asset or share acquisition.

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Cornerstones Of Financial Accounting

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