Unity Limited Acquired 100% of the Share Capital of Bellvista

question 7

Multiple Choice

Unity Limited acquired 100% of the share capital of Bellvista Limited. Bellvista had total shareholder's equity of $200 000. The book values of Bellvista Limited's assets were: buildings $100 000, machinery $120 000. The fair values of these assets were: buildings $180 000, machinery $140 000. The tax rate is 30%. The fair value of the identifiable net assets is:

• A) $270 000.
• B) $220 000.
• C) $320 000.
• D) $200 000.

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Definitions:

Sulfonium Salts

Ionic compounds that contain a positively charged sulfur atom directly bonded to three organic groups.

SAM

S-Adenosylmethionine, a compound involved in methyl group transfers in biological processes.

Biological Systems

Complex networks of biotic and abiotic components that interact in precisely balanced ways within living organisms.

Sulfonium Salt

An ionic compound featuring a central sulfur atom covalently bonded to three organic groups and bearing a positive charge, with an associated anion to balance the charge.