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Two entities A Ltd and B Ltd together form a third entity, C Ltd. C Ltd acquires A Ltd and B Ltd. In this situation,
Two entities A Ltd and B Ltd together form a third entity, C Ltd. C Ltd acquires A Ltd and B Ltd. In this situation, AASB 3 Business Combinations , adjudges that:
a. A Ltd and B Ltd cease to exist and C Ltd is the acquirer;
b. the combined A Ltd and B Ltd, is the acquirer of C Ltd;
c. C Ltd is considered to be the acquirer;
d. C Ltd is not to be considered to be the acquirer;
e. None of the above
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