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Happy LTD acquird all issued shares of Bee LTD .On date of acquisition, Bee LTD had a contingent liability disclosed in its individual financial statement.

Happy LTD acquird all issued shares of Bee LTD .On date of acquisition, Bee LTD had a contingent liability disclosed in its individual financial statement. On consolidation, in relation to this contingent liability, the group will record:

a) a deferred tax liability

b) a reduction in goodwill

c) no record should be made

d) a deferred tax asset

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