Kursant
Newbie
Joined: 19 Jul 2010
Online Status: Offline
Posts: 21
|
| Posted: 28 Aug 2011 at 00:55 | IP Logged
|
|
|
Q: Parent buys an international Sub. Sub carries an equipment at fair value.
Parent decides to carry at cost determined as a relative net cost of the
equipment on date of acquisition. What value is reflected on a consolidation
statement according to IFRS?
The Sub's net assets are usually recorded @ its relative FV, so total FV=
assets cost+goodwill. Therefore, the equipment's new cost is its relative FV
on an acquisition date and will be reflected as a new cost for Parent. Any
other thoughts, or IFRS instructs any special assessment?
|
Active Topics 
Memberlist 
Search 
Help
Register 
Login
Topic: Asset valuation on IFRS consolidation.
Topic Closed)
