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What amount (20 mil, 26 mil or 30 mil) should be recognized in the balance sheet under ifrs 3? Explain BLIC owns manufacturing facilities and
What amount (20 mil, 26 mil or 30 mil) should be recognized in the balance sheet under ifrs 3? Explain
BLIC owns manufacturing facilities and equipment with a net book value of $20 million. RONIN's valuation team suggests a fair value of $26 million due to recent technological upgrades. RONIN is very interested in the equipment since it believes it can be used for RONIN products as well as BLIC products. The equipment is more advanced technologically. Recent industry catalogues show a value for the equipment of approximately $30 million.
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International Financial Statement Analysis CFA Institute Investment Series
Authors: Thomas R. Robinson, Hennie Van Greuning CFA, Elaine Henry, Michael A. Broihahn, Sir David Tweedie
1st Edition
0470287667, 978-0470287668
