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	<title>IFRS LIST.com &#187; BUSINESS COMBINATION</title>
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		<title>Tools ‹ IFRS LIST.COM – The online community about IAS IFRS, Accounting and Auditing — WordPress</title>
		<link>http://www.ifrslist.com/2010/11/13/tools-%E2%80%B9-ifrs-list-com-%E2%80%93-the-online-community-about-ias-ifrs-accounting-and-auditing-%E2%80%94-wordpress/</link>
		<comments>http://www.ifrslist.com/2010/11/13/tools-%E2%80%B9-ifrs-list-com-%E2%80%93-the-online-community-about-ias-ifrs-accounting-and-auditing-%E2%80%94-wordpress/#comments</comments>
		<pubDate>Sat, 13 Nov 2010 06:29:58 +0000</pubDate>
		<dc:creator>riyer0018</dc:creator>
				<category><![CDATA[ASIA]]></category>
		<category><![CDATA[AUDIT]]></category>
		<category><![CDATA[BOOKS & RESOURCES]]></category>
		<category><![CDATA[BUSINESS COMBINATION]]></category>
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		<description><![CDATA[Tools ‹ IFRS LIST.COM – The online community about IAS IFRS, Accounting and Auditing — WordPress.



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Request for auditing standard
Assistance for Audit...


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<li><a href='http://www.ifrslist.com/2010/02/26/ifrs-a-help-or-a-headache-apply-for-msc-in-accounting-and-control-in-amsterdam/' rel='bookmark' title='Permanent Link: IFRS: a help or a headache? Apply for MSc in Accounting and Control in Amsterdam'>IFRS: a help or a headache? Apply for MSc in Accounting and Control in Amsterdam</a></li>
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</ol>]]></description>
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		<slash:comments>0</slash:comments>
		</item>
		<item>
		<title>Goodwill Calculation</title>
		<link>http://www.ifrslist.com/2010/09/23/goodwill-calculation-2/</link>
		<comments>http://www.ifrslist.com/2010/09/23/goodwill-calculation-2/#comments</comments>
		<pubDate>Thu, 23 Sep 2010 09:44:51 +0000</pubDate>
		<dc:creator>srm1930</dc:creator>
				<category><![CDATA[BUSINESS COMBINATION]]></category>

		<guid isPermaLink="false">http://www.ifrslist.com/?p=2240</guid>
		<description><![CDATA[Dear Members
Please advice on the below query
Company A buys 70% shares of Company B and become the holding company during 2008. so while preparing accounts for the year 2008, goodwill is calculated. Now in 2009, Company A acquires additional shares but the share holding remains the same. so while preparing accounts for 2009, do we need to calculate goodwill again? if yes whats is best method.
please advice
best regards


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Entries &#8211; Consolidation of financial statements
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<li><a href='http://www.ifrslist.com/2009/04/11/entries-consolidation-of-financial-statements/' rel='bookmark' title='Permanent Link: Entries &#8211; Consolidation of financial statements'>Entries &#8211; Consolidation of financial statements</a></li>
<li><a href='http://www.ifrslist.com/2008/08/28/deferred-tax-calculation/' rel='bookmark' title='Permanent Link: Deferred Tax calculation'>Deferred Tax calculation</a></li>
</ol>]]></description>
		<wfw:commentRss>http://www.ifrslist.com/2010/09/23/goodwill-calculation-2/feed/</wfw:commentRss>
		<slash:comments>7</slash:comments>
		</item>
		<item>
		<title>Consolidation After Merge</title>
		<link>http://www.ifrslist.com/2010/08/27/conslidation-after-merge/</link>
		<comments>http://www.ifrslist.com/2010/08/27/conslidation-after-merge/#comments</comments>
		<pubDate>Fri, 27 Aug 2010 03:17:47 +0000</pubDate>
		<dc:creator>yahya mohamed</dc:creator>
				<category><![CDATA[BUSINESS COMBINATION]]></category>
		<category><![CDATA[CONSOLIDATION]]></category>

		<guid isPermaLink="false">http://www.ifrslist.com/?p=2173</guid>
		<description><![CDATA[If  company (A) has a subsidiary(b) during acquisition no goodwill was recognized  then the subsidiary (b) was merged with another company resulted for change it&#8217;s capital structure , so the Investment of (A) at (b) is now greater than it&#8217;s share of  new capital of (b) is the difference recognized as goodwill or what
please Help


Related posts:Consolidation of net loss position
Financial Statement Consolidation
loss making subsidiaries &#8211; consolidation



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<li><a href='http://www.ifrslist.com/2010/08/22/fs-consolidation-2/' rel='bookmark' title='Permanent Link: Financial Statement Consolidation'>Financial Statement Consolidation</a></li>
<li><a href='http://www.ifrslist.com/2010/09/01/loss-making-subsidiaries-consolidation/' rel='bookmark' title='Permanent Link: loss making subsidiaries &#8211; consolidation'>loss making subsidiaries &#8211; consolidation</a></li>
</ol>]]></description>
		<wfw:commentRss>http://www.ifrslist.com/2010/08/27/conslidation-after-merge/feed/</wfw:commentRss>
		<slash:comments>6</slash:comments>
		</item>
		<item>
		<title>Minority Interst</title>
		<link>http://www.ifrslist.com/2010/08/22/minority-interst/</link>
		<comments>http://www.ifrslist.com/2010/08/22/minority-interst/#comments</comments>
		<pubDate>Sun, 22 Aug 2010 09:49:24 +0000</pubDate>
		<dc:creator>dina</dc:creator>
				<category><![CDATA[BUSINESS COMBINATION]]></category>

		<guid isPermaLink="false">http://www.ifrslist.com/2010/08/minority-interst/</guid>
		<description><![CDATA[Do I still need to account for a 1% minority interest?
Are receivable from shareholders (part of share capital) eliminated in consolidation or not.


Related posts:Minority interest
Minority Interest
Shareholde&#8217;s current account



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<li><a href='http://www.ifrslist.com/2008/08/28/re-ifrs-list-minority-interest/' rel='bookmark' title='Permanent Link: Minority Interest'>Minority Interest</a></li>
<li><a href='http://www.ifrslist.com/2010/09/20/shareholdes-current-account-2/' rel='bookmark' title='Permanent Link: Shareholde&#8217;s current account'>Shareholde&#8217;s current account</a></li>
</ol>]]></description>
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		<slash:comments>5</slash:comments>
		</item>
		<item>
		<title>Financial Statement Consolidation</title>
		<link>http://www.ifrslist.com/2010/08/22/fs-consolidation-2/</link>
		<comments>http://www.ifrslist.com/2010/08/22/fs-consolidation-2/#comments</comments>
		<pubDate>Sun, 22 Aug 2010 06:45:24 +0000</pubDate>
		<dc:creator>dina</dc:creator>
				<category><![CDATA[BUSINESS COMBINATION]]></category>
		<category><![CDATA[CONSOLIDATION]]></category>

		<guid isPermaLink="false">http://www.ifrslist.com/2010/08/fs-consolidation-2/</guid>
		<description><![CDATA[If the subsidiary was established prior to the parent company, what are the possible complications? I.e. because the Holdings require higher initial capital the management decided that once the subsidiary generates revenue. the revenue can be use to fund the share capital of the parent.
On the establishment of the subsidiary the shareholders put more money over the share capital. can i transfer the excess of shareholders capital in the subsidiary to the parent company? what would be my entry?Please help.


Related posts:Consolidation of net loss position
Shareholders current account
Consolidation After Merge



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<li><a href='http://www.ifrslist.com/2010/09/22/shareholders-current-account/' rel='bookmark' title='Permanent Link: Shareholders current account'>Shareholders current account</a></li>
<li><a href='http://www.ifrslist.com/2010/08/27/conslidation-after-merge/' rel='bookmark' title='Permanent Link: Consolidation After Merge'>Consolidation After Merge</a></li>
</ol>]]></description>
		<wfw:commentRss>http://www.ifrslist.com/2010/08/22/fs-consolidation-2/feed/</wfw:commentRss>
		<slash:comments>5</slash:comments>
		</item>
		<item>
		<title>Acquisition &#8211; Business Combination</title>
		<link>http://www.ifrslist.com/2010/08/19/acquisition/</link>
		<comments>http://www.ifrslist.com/2010/08/19/acquisition/#comments</comments>
		<pubDate>Thu, 19 Aug 2010 19:06:25 +0000</pubDate>
		<dc:creator>dina</dc:creator>
				<category><![CDATA[BUSINESS COMBINATION]]></category>

		<guid isPermaLink="false">http://www.ifrslist.com/?p=2158</guid>
		<description><![CDATA[How do i record an acquisition without investment made by the parent to the subsidiary?


Related posts:How to account intragroup trading under Business combination
Acquisition accounting
IFRS 3 Business Combination



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<li><a href='http://www.ifrslist.com/2008/12/15/acquisition-accounting/' rel='bookmark' title='Permanent Link: Acquisition accounting'>Acquisition accounting</a></li>
<li><a href='http://www.ifrslist.com/2008/08/28/ifrs-3-business-combination/' rel='bookmark' title='Permanent Link: IFRS 3 Business Combination'>IFRS 3 Business Combination</a></li>
</ol>]]></description>
		<wfw:commentRss>http://www.ifrslist.com/2010/08/19/acquisition/feed/</wfw:commentRss>
		<slash:comments>4</slash:comments>
		</item>
		<item>
		<title>Gain on Bargain Purchase (IFRS 3)</title>
		<link>http://www.ifrslist.com/2010/05/13/gain-on-bargain-purchase-ifrs-3/</link>
		<comments>http://www.ifrslist.com/2010/05/13/gain-on-bargain-purchase-ifrs-3/#comments</comments>
		<pubDate>Thu, 13 May 2010 12:11:41 +0000</pubDate>
		<dc:creator>gordonheard</dc:creator>
				<category><![CDATA[BUSINESS COMBINATION]]></category>

		<guid isPermaLink="false">http://www.ifrslist.com/?p=1983</guid>
		<description><![CDATA[Looking for an example of a company that has recorded a gain on a bargain purchase resulting from a business combination. Ideal if it was a mining company.
Thanks
Gord


Related posts:Purchase shareholding in joint venture from a joint venture
Sales return or new purchase.
Foreign exchange loss/gain



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<li><a href='http://www.ifrslist.com/2008/08/27/sales-return-or-new-purchase/' rel='bookmark' title='Permanent Link: Sales return or new purchase.'>Sales return or new purchase.</a></li>
<li><a href='http://www.ifrslist.com/2008/08/28/re-ifrs-list-foreign-exchange-lossgain/' rel='bookmark' title='Permanent Link: Foreign exchange loss/gain'>Foreign exchange loss/gain</a></li>
</ol>]]></description>
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		<slash:comments>6</slash:comments>
		</item>
		<item>
		<title>Retained losses on Investment in subsidiary</title>
		<link>http://www.ifrslist.com/2010/03/12/retained-losses-on-investment-in-subsidiary/</link>
		<comments>http://www.ifrslist.com/2010/03/12/retained-losses-on-investment-in-subsidiary/#comments</comments>
		<pubDate>Fri, 12 Mar 2010 01:20:56 +0000</pubDate>
		<dc:creator>yahya mohamed</dc:creator>
				<category><![CDATA[BUSINESS COMBINATION]]></category>
		<category><![CDATA[CONSOLIDATION]]></category>
		<category><![CDATA[IMPAIRMENT INDICATORS]]></category>
		<category><![CDATA[IMPAIRMENT TEST]]></category>
		<category><![CDATA[INVESTMENT ON SUBSIDIARY]]></category>

		<guid isPermaLink="false">http://www.ifrslist.com/?p=1815</guid>
		<description><![CDATA[If a subsidiary has a retained losses and it increase from year to year
In the parent separate financial statement as Subsidiary was recognized at cost Is there is a need to impairment or write down the cost of the investment of this subsidiary??


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How to account intragroup trading under Business combination
Investment decision



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<li><a href='http://www.ifrslist.com/2009/03/10/how-to-account-intragroup-trading-under-business-combination/' rel='bookmark' title='Permanent Link: How to account intragroup trading under Business combination'>How to account intragroup trading under Business combination</a></li>
<li><a href='http://www.ifrslist.com/2008/12/15/investment-decision/' rel='bookmark' title='Permanent Link: Investment decision'>Investment decision</a></li>
</ol>]]></description>
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		<slash:comments>3</slash:comments>
		</item>
		<item>
		<title>IFRS 3 &#8211; Business Combination</title>
		<link>http://www.ifrslist.com/2009/05/18/ifrs-3-business-combination-2/</link>
		<comments>http://www.ifrslist.com/2009/05/18/ifrs-3-business-combination-2/#comments</comments>
		<pubDate>Mon, 18 May 2009 07:18:30 +0000</pubDate>
		<dc:creator>admin</dc:creator>
				<category><![CDATA[BUSINESS COMBINATION]]></category>
		<category><![CDATA[IFRS 3]]></category>

		<guid isPermaLink="false">http://www.ifrslist.com/?p=1303</guid>
		<description><![CDATA[Dear All,
My question is that, in a situation of  merger or business combination, where the structure is such that a new company A is formed to take over the businesses of B and C. 
The question is whether IFRS 3 Business Combinations is applicable in this case as practically the entire IFRS 3 is based on an Acquirer and an Acquiree which are not present in this structure.    
Thanks 
Zuhar


Related posts:IFRS 3 – Business Combination
IFRS 3 – Business Combination
IFRS 3 Business Combination



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<li><a href='http://www.ifrslist.com/docs/ifrs-3-business-combination/' rel='bookmark' title='Permanent Link: IFRS 3 – Business Combination'>IFRS 3 – Business Combination</a></li>
<li><a href='http://www.ifrslist.com/2008/08/28/ifrs-3-business-combination/' rel='bookmark' title='Permanent Link: IFRS 3 Business Combination'>IFRS 3 Business Combination</a></li>
</ol>]]></description>
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		<slash:comments>4</slash:comments>
		</item>
		<item>
		<title>Business Combinations, Consolidation (IFRS 3 and IAS 27) literature</title>
		<link>http://www.ifrslist.com/2009/03/19/business-combinations-consolidation-ifrs-3-and-ias-27-literature/</link>
		<comments>http://www.ifrslist.com/2009/03/19/business-combinations-consolidation-ifrs-3-and-ias-27-literature/#comments</comments>
		<pubDate>Thu, 19 Mar 2009 22:01:12 +0000</pubDate>
		<dc:creator>spcboarder</dc:creator>
				<category><![CDATA[BUSINESS COMBINATION]]></category>
		<category><![CDATA[CONSOLIDATION]]></category>
		<category><![CDATA[Business Combinations]]></category>
		<category><![CDATA[IAS 27]]></category>
		<category><![CDATA[IFRS 3]]></category>

		<guid isPermaLink="false">http://www.ifrslist.com/?p=1222</guid>
		<description><![CDATA[
Hello, 

I am an Austrian student and I would like to write about consolidation. More specifically I am going to write a comparison between full consolidated corporations and consolidation at equity. As far as I know, equity consolidation exists as term in german, but not in English. In English it is referred to as elimination of balances according to IAS 27 debt consolidation. IFRS 3 – Business Combinations is going to be relevant for me as well. 
 
I am in the need of some good literature to read up ...


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<li><a href='http://www.ifrslist.com/2008/08/27/cost-directly-attributable-to-the-business-combinations/' rel='bookmark' title='Permanent Link: COST DIRECTLY ATTRIBUTABLE TO THE BUSINESS COMBINATIONS'>COST DIRECTLY ATTRIBUTABLE TO THE BUSINESS COMBINATIONS</a></li>
<li><a href='http://www.ifrslist.com/2010/09/01/loss-making-subsidiaries-consolidation/' rel='bookmark' title='Permanent Link: loss making subsidiaries &#8211; consolidation'>loss making subsidiaries &#8211; consolidation</a></li>
</ol>]]></description>
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		<slash:comments>3</slash:comments>
		</item>
		<item>
		<title>How to account intragroup trading under Business combination</title>
		<link>http://www.ifrslist.com/2009/03/10/how-to-account-intragroup-trading-under-business-combination/</link>
		<comments>http://www.ifrslist.com/2009/03/10/how-to-account-intragroup-trading-under-business-combination/#comments</comments>
		<pubDate>Tue, 10 Mar 2009 17:16:37 +0000</pubDate>
		<dc:creator>admin</dc:creator>
				<category><![CDATA[BUSINESS COMBINATION]]></category>

		<guid isPermaLink="false">http://www.ifrslist.com/?p=1202</guid>
		<description><![CDATA[Dear all,
I need clarification with regard to how to treat an intra group trading b/n parent and subsidiaries group accounts during preparation of consolidated statement of financial position as well as income statement. I always confuse and need a clear guideline on how to treat it.
For instance
the subsidiary sold to the parent in the post acquisition period for an amount of $8million. The subsidiary made a mark up on cost of 40% on the sales. The Parent sold $5.2 million(at cost to the parent) of these goods. How should I ...


Related posts:<ol><li><a href='http://www.ifrslist.com/2008/08/28/ifrs-3-business-combination/' rel='bookmark' title='Permanent Link: IFRS 3 Business Combination'>IFRS 3 Business Combination</a></li>
<li><a href='http://www.ifrslist.com/2010/08/19/acquisition/' rel='bookmark' title='Permanent Link: Acquisition &#8211; Business Combination'>Acquisition &#8211; Business Combination</a></li>
<li><a href='http://www.ifrslist.com/2008/08/28/effective-date-of-business-combination/' rel='bookmark' title='Permanent Link: Effective date of business combination'>Effective date of business combination</a></li>
</ol>]]></description>
		<wfw:commentRss>http://www.ifrslist.com/2009/03/10/how-to-account-intragroup-trading-under-business-combination/feed/</wfw:commentRss>
		<slash:comments>5</slash:comments>
		</item>
		<item>
		<title>Loss / profit from joint venture / subsidiary</title>
		<link>http://www.ifrslist.com/2009/02/14/loss-profit-from-joint-venture-subsidiary/</link>
		<comments>http://www.ifrslist.com/2009/02/14/loss-profit-from-joint-venture-subsidiary/#comments</comments>
		<pubDate>Sat, 14 Feb 2009 08:54:30 +0000</pubDate>
		<dc:creator>admin</dc:creator>
				<category><![CDATA[BUSINESS COMBINATION]]></category>
		<category><![CDATA[JOINT VENTURE]]></category>
		<category><![CDATA[PROFIT SHARING]]></category>
		<category><![CDATA[SUBSIDIARY]]></category>

		<guid isPermaLink="false">http://www.ifrslist.com/?p=1149</guid>
		<description><![CDATA[Dear Experts,
Do we need to pass an entry for share of loss / profit in joint venture in the books of subsidiary stand alone books FS  and also the same in the books of parent company stand alone books.
or to be considered only for out of books consolidation purposes.


Related posts:Joint Venture Accounting
Purchase shareholding in joint venture from a joint venture
Consolidation of net loss position



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<li><a href='http://www.ifrslist.com/2009/07/13/purchase-shareholding-in-joint-venture-from-a-joint-venture/' rel='bookmark' title='Permanent Link: Purchase shareholding in joint venture from a joint venture'>Purchase shareholding in joint venture from a joint venture</a></li>
<li><a href='http://www.ifrslist.com/2010/10/19/consolidation-of-net-loss-position/' rel='bookmark' title='Permanent Link: Consolidation of net loss position'>Consolidation of net loss position</a></li>
</ol>]]></description>
		<wfw:commentRss>http://www.ifrslist.com/2009/02/14/loss-profit-from-joint-venture-subsidiary/feed/</wfw:commentRss>
		<slash:comments>3</slash:comments>
		</item>
		<item>
		<title>In case of newly established Subsidiary</title>
		<link>http://www.ifrslist.com/2009/02/04/in-case-of-newly-established-subsidiary/</link>
		<comments>http://www.ifrslist.com/2009/02/04/in-case-of-newly-established-subsidiary/#comments</comments>
		<pubDate>Wed, 04 Feb 2009 08:32:49 +0000</pubDate>
		<dc:creator>ca.lokeshjain</dc:creator>
				<category><![CDATA[BUSINESS COMBINATION]]></category>
		<category><![CDATA[CONSOLIDATION]]></category>
		<category><![CDATA[SUBSIDIARY]]></category>

		<guid isPermaLink="false">http://www.ifrslist.com/?p=1132</guid>
		<description><![CDATA[In case of newly established subsidiary, which have not stared his commercial activities and in construction phase, is it require to consolidate it or we can show it on cost. Plz tell me What will be the right treatement


Related posts:Sale of subsidiary
Retained losses on Investment in subsidiary
Financial Statement Consolidation



Related posts:<ol><li><a href='http://www.ifrslist.com/2009/08/05/sale-of-subsidiary/' rel='bookmark' title='Permanent Link: Sale of subsidiary'>Sale of subsidiary</a></li>
<li><a href='http://www.ifrslist.com/2010/03/12/retained-losses-on-investment-in-subsidiary/' rel='bookmark' title='Permanent Link: Retained losses on Investment in subsidiary'>Retained losses on Investment in subsidiary</a></li>
<li><a href='http://www.ifrslist.com/2010/08/22/fs-consolidation-2/' rel='bookmark' title='Permanent Link: Financial Statement Consolidation'>Financial Statement Consolidation</a></li>
</ol>]]></description>
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		</item>
		<item>
		<title>Acquisition accounting</title>
		<link>http://www.ifrslist.com/2008/12/15/acquisition-accounting/</link>
		<comments>http://www.ifrslist.com/2008/12/15/acquisition-accounting/#comments</comments>
		<pubDate>Sun, 14 Dec 2008 22:28:00 +0000</pubDate>
		<dc:creator>ifrslist</dc:creator>
				<category><![CDATA[BUSINESS COMBINATION]]></category>
		<category><![CDATA[AUDIT]]></category>
		<category><![CDATA[CIA]]></category>
		<category><![CDATA[CONSOLIDATION]]></category>
		<category><![CDATA[FAIR VALUE]]></category>
		<category><![CDATA[IAS]]></category>
		<category><![CDATA[IFRS]]></category>
		<category><![CDATA[IFRS 3]]></category>
		<category><![CDATA[INTERNAL AUDIT]]></category>
		<category><![CDATA[LINK]]></category>
		<category><![CDATA[SHARE]]></category>
		<category><![CDATA[SUBSIDIARY]]></category>

		<guid isPermaLink="false">http://www.ifrsforsme.com/share/2008/12/fwd-ifrs-list-acquisition-accounting/</guid>
		<description><![CDATA[Dear all,
I have a question in relation to acquisition accounting in accordance with
IFRS3. In this case a parent company A acquires all the shares in
subsidiary company B for (say) 50M. This cost price represents a goodwill
over the fair value of the assets and libailities assumed of 15M. Where
should I record the 15M goodwill? Is this in the subsidiary company B or
in parent company A?


Based on IAS21, p. 47, I would say in the sub.
All the best, Farah

L&#8217;adresse e-mail de votre correspondant a changé. Elle devient:  prenom.nom@gdfsuez.com
Nous vous remercions de bien ...


Related posts:<ol><li><a href='http://www.ifrslist.com/2008/08/28/re-ifrs-list-goodwill-minority-calculation/' rel='bookmark' title='Permanent Link: Goodwill &#38; Minority calculation'>Goodwill &#38; Minority calculation</a></li>
<li><a href='http://www.ifrslist.com/2008/08/28/re-ifrs-list-equity-accounting/' rel='bookmark' title='Permanent Link: Equity accounting.'>Equity accounting.</a></li>
<li><a href='http://www.ifrslist.com/2008/08/28/re-ifrs-list-ias-27-query/' rel='bookmark' title='Permanent Link: IAS-27 query'>IAS-27 query</a></li>
</ol>]]></description>
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		</item>
		<item>
		<title>Effective date of business combination</title>
		<link>http://www.ifrslist.com/2008/08/28/effective-date-of-business-combination/</link>
		<comments>http://www.ifrslist.com/2008/08/28/effective-date-of-business-combination/#comments</comments>
		<pubDate>Thu, 28 Aug 2008 15:28:00 +0000</pubDate>
		<dc:creator>ifrslist</dc:creator>
				<category><![CDATA[BUSINESS COMBINATION]]></category>
		<category><![CDATA[EFFECTIVE DATE]]></category>
		<category><![CDATA[IFRS 3]]></category>

		<guid isPermaLink="false">http://ifrslist.wordpress.com/2008/08/28/re-ifrs-list-effective-date-of-business-combination/</guid>
		<description><![CDATA[Suppose Entity A acquires Entity B in a business combination and all the considerations have been completed by 31 December 2007 except that government approval which was still pending as at year end. Should entity A consolidate Entity B as at 31 December 2007?

Regards,

Nyasha 






I believe the answer lies in the issue of control. If the acquirer still does not have control, i.e. voting rights, directorship, active management, no consolidation should be done until Control is obtained. In the meantime, the Acquirer can book in the investments in subs as ...


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</ol>]]></description>
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		</item>
		<item>
		<title>IFRS 3 Business Combination</title>
		<link>http://www.ifrslist.com/2008/08/28/ifrs-3-business-combination/</link>
		<comments>http://www.ifrslist.com/2008/08/28/ifrs-3-business-combination/#comments</comments>
		<pubDate>Thu, 28 Aug 2008 15:12:00 +0000</pubDate>
		<dc:creator>ifrslist</dc:creator>
				<category><![CDATA[BUSINESS COMBINATION]]></category>
		<category><![CDATA[IFRS 3]]></category>

		<guid isPermaLink="false">http://ifrslist.wordpress.com/2008/08/28/re-ifrs-list-ifrs-3-business-combination/</guid>
		<description><![CDATA[
Dear All,
one of our Client has purchased a 100 % interest in a Subsidiarywhich is loss Making&#8230;
 
He has passed the following entry in their own books
 
Goodwill DR                120,000
Investment CR                          20,000       (Equity of subsidiary)
Payable to subsidiary              100,000        (purchase price)
 
My question is can Investment AC be -VE at initiation. and as far as i remember the initial recognition of an asset should be at its cost.and my plea to the Client is that the entry should be
 
Investment DR 100,000
                 Payable           100,000
and goodwill be shown in Consolidated ACs.
 
Kindly comment&#8230;.and correct me if i am wrong.
 
Regards
I ...


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<li><a href='http://www.ifrslist.com/2009/12/28/fixed-asset-capilization/' rel='bookmark' title='Permanent Link: Fixed Asset Capilization'>Fixed Asset Capilization</a></li>
</ol>]]></description>
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