Under the entity theory, consolidated goodwill is determined by inference. Describe how this is achieved, and comment

Question:

Under the entity theory, consolidated is determined by inference. Describe how this is achieved, and comment on its shortcomings.
Goodwill
Goodwill is an important concept and terminology in accounting which means good reputation. The word goodwill is used at various places in accounting but it is recognized only at the time of a business combination. There are generally two types of...