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On 31 December 20X0, GCC acquired 100% of PKL. On the acquisition date, PKL had a customer list, but this has not been recognised as

On 31 December 20X0, GCC acquired 100% of PKL. On the acquisition date, PKL had a customer list, but this has not been recognised as an intangible asset in PKL's statement of financial position. The directors of PKL, however, estimate that a total of D$300,000 had been spent building up this customer list. On the acquisition date, as part of the due diligence exercise, external specialists valued PKL's customer list at D$700,000 although the directors of GCC believe that it was worth closer to D$900,000. What amount should GCC include in its consolidated statement of financial position as at 31 December 20X0 for the customer list? Solution A.D$0 B.D$300,000 C.D$700,000 D.D$900,000

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