If Shares Are Issued as Part of the Consideration Paid

question 9

Multiple Choice

If shares are issued as part of the consideration paid, transactions costs such as brokerage fees may be incurred. Under AASB 3/IFRS 3 Business Combinations, the appropriate accounting treatment for such costs in the records of the acquirer is a debit to:

• A) cash.
• B) investments.
• C) share capital.
• D) acquisition expenses.