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MBA, Ph.D in Management
Harvard university
Feb-1997 - Aug-2003
Professor
Strayer University
Jan-2007 - Present
In consolidation entry,If the goodwill acquired=consideration transferred - FVINA smaller than the goodwill already record in Subsidairy get the negative /over-stated goodwill (goodwill adjustment) Do we need to do impairment loss of the over-stated goodwill? Eg: FVINA=260,000 Consideration transfer =275,000 Goodwill acquired =15,000 but the goodwill recorded at acquisition day is 40,000 The over-stated goodwill = (25,000) Do we need record impairment loss for goodwill in pre-acquisition entry? Or just eliminate the over-stated goodwill into Cr goodwill (partially goodwill method) Or transfer goodwill into BCVR Dr BCVR Cr. BCVR Please give me a complete explanation about it ! With the example and theory explain Thanks so much
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