Which of the following statements is not correct in relation to the determination of a business combination? Group of answer choices A business combination may give rise to the recognition of goodwill. Through the business combination, the acquirer must obtain control of the business acquired. A business must consist of inputs such as economic resources and provide goods and services. To be deemed as a business combination, the net assets acquired must be a business.

The determination of the acquisition relates to many components of the business combination except for: Group of answer choices the determination of the goodwill. any previously held interest in the acquiree. the fair value of identifiable assets acquired, and liabilities assumed. c. the determination of the goodwill. the physical transfer of control of the business.

Match the following business process MAKEGroup of answer choicesEnterprise Asset ManagementInventory and Warehouse ManagementProductionProcurement

Which of the following statements is incorrect?Group of answer choicesA bargain purchase gain arises when the purchase consideration is greater than the FVINA acquired.When a subsidiary has existing goodwill in their books at the date of acquisition, the amount of FVINA will decrease in the acquisition analysis.The Investment in subsidiary account is always eliminated on consolidation and this account will always be equal to zero for the group.If a company acquires shares in a subsidiary cum div, consolidation adjusting entries are required to eliminate dividend payable and dividend receivable up until the dividend is paid by the subsidiary.

According to AASB 3, how is goodwill acquired in a business combination recognised? a. As an asset, initially measured at cost. b. As a contingent liability, initially measured at fair value c. As an asset, initially measured at fair value d. As an equity account, initially measured at cost

Which of the following statements is correct?Group of answer choicesAASB 3 Business Combinations requires that any revaluations of a subsidiary’s assets at acquisition date must be done in the consolidation worksheet.The revaluation of non-current assets in the subsidiary’s records means that the subsidiary has adopted the cost model of accounting for those assets.Revaluations of assets such as goodwill and inventory are not permitted in the accounting records of the subsidiary.Inventory can be revalued to an amount greater than its cost in the records of the subsidiary.