Which of the Following Statements Is Not in Accordance with AASB

question 6

Multiple Choice

Which of the following statements is not in accordance with AASB 3 "Business Combinations"?

• A) An entity shall account for each business combination by applying the acquisition method.
• B) For each business combination, one of the combining entities shall be identified as the acquirer.
• C) The acquirer is required to recognise, separately from goodwill, the identifiable assets acquired, the liabilities assumed and any non-controlling interest in the acquiree.
• D) The acquirer shall measure the identifiable assets acquired and the liabilities assumed at their acquisition-date agreed values.
• E) None of the given answers.

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Definitions:

Corporate System

A structure or framework that defines the practices, policies, and organizational arrangements of a corporation.

Consumer Needs

The essential requirements that consumers seek to fulfill with products or services, including functional, emotional, and social needs.

Cultural Form

Indicates the various expressions and manifestations of culture, including art, music, literature, and traditions, which embody the values and norms of a society.

Lifestyle

The interests, opinions, behaviors, and behavioral orientations of an individual, group, or culture.