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On 1 July 2017 Good Ltd acquired a 100% interest in Life Ltd for cash consideration of $115,000. At that time Life Ltd's equity consists
On 1 July 2017 Good Ltd acquired a 100% interest in Life Ltd for cash consideration of $115,000. At that time Life Ltd's equity consists of Share Capital of $70,000 and Retained Earnings of $30,000. Life Ltd also has goodwill of $10 000 recorded in its statement of financial position as a result of a previous business combination. What is the amount of total goodwill arising from the acquisition? Select one: O a. nil O b. $25,000 O c. $15,000 O d. $5,000
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