An entry is necessary to eliminate the full amount of the gain on the sale of land and to reduce the land to its cost basis to the consolidated entity whether the intercompany sale is upstream or downstream

At acquisition date the net assests of the acquired subsidairy are included in the consolidated financial statement at their acquisition date fair value. However most of the parent assets and liabilities are measured on an historical cost basis . Is this Consistent ? Explain.

During the measurement period, which of the following may affect the amount ofgoodwill from business combination?  A.New information regarding estimates in the contingent consideration that are not existing atthe date of acquisitionB.Nothing can affect the amount of goodwill.C.New information regarding estimates in the contingent consideration that are existing at thedate of acquisition.D.New information regarding estimates in the contingent consideration

Which of the following is/are true regarding goodwill achieved through acquisition as part of business combination? Where the acquirer was able to purchase the business at a discount, the excess of the market capitalization over the consideration transferred will be recognized in profit or loss. The acquirer shall recognize goodwill as of the acquisition date measured as the excess of the aggregate of the consideration transferred over the net of the fair values of all the assets acquired and the liabilities assumed Group of answer choices     Both statements are true.   None of these statements are true.   2 only.   1 only.

The following rules represent correct guidelines in the transfer to and from investment property classification except: Group of answer choices     For transfers from inventory to PPE, the difference between fair value and the previous carrying amount is recognized in profit or loss during the period.   For transfers from investment property carried at fair value to inventories, the difference between fair value and carrying amount shall be recognized in profit or loss during the period.   For transfers from investment property carried at fair value to PPE, the fair value at the date of change of use is the cost of the property under the new classification.   For transfers from PPE to investment property carried at fair value, any difference from carrying amount and fair value is treated as revaluation.

The consolidation process applicable when intra-entity land transfers have occurred differs somewhat from that used for intra-entity inventory sales. What differences should be noted?

Which of the following items may be treated as excluded costs from the amortization base for a full cost company? Group of answer choices A. Dry hole costs on unproved properties B. Delay rentals on unproved properties C. Impairment costs on unproved properties D. Abandonment costs of unproved properties