What Are the Key Components of a "Conceptual Framework" and How

question 28

Essay

What are the key components of a "conceptual framework" and how might you as a student begin to develop yours?

Identify the correct method for recording additional share acquisitions in consolidated financial statements.

Analyze the impact of additional share purchases on goodwill and common shares balance in the consolidated statement of financial position.

Calculate the adjustment to equity required for a second acquisition of shares using the entity method.

Understand the treatment of original ownership percentages upon acquiring additional shares in a subsidiary.