AASB 3 Establishes Principles and Requirements for How the Acquirer

question 8

Multiple Choice

AASB 3 establishes principles and requirements for how the acquirer:

• A)determines what information to disclose to enable users of the financial statements to evaluate the nature and financial effects of the business combination
• B)recognises and measures in its financial statements the identifiable assets acquired,the liabilities assumed and any non- controlling interest in the acquiree
• C)recognises and measures the goodwill acquired in the business combination or a gain from a bargain purchase
• D)all of the above

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Definitions:

Cost Of Goods Manufactured

The total expense incurred to produce goods within a specified period, including materials, labor, and overhead.