This is the most confusing of all topics, Can someone clearly go through a small example. Scenario 1: A cash buyout 1a) Equity (Equity method) = Not affected = same before the investment as is after the investment 1b) Equity (Consolidation Method- using full goodwill) = ?? 1c) Equity (Consolidation Method - using partial goodwill) For 2b, and 2c: explain what happens to pre & post minority interests/ retained earnings on the date of acquisition and for subsequent reporting. Scenario 2: Issue more capital to buy 2a) Equity (Equity method) = Not affected = same before the investment as is after the investment 2b) Equity (Consolidation Method- using full goodwill) = ?? 2c) Equity (Consolidation Method - using partial goodwill) = ?? For 1b, and 1c: explain what happens to pre & post minority interests/ retained earnings on the date of acquisition and for subsequent reporting. I am willing to give someone a phone call / Chat msg if you can explain me this. Thank you very much!
the 1b&1c&2b&2c are switched in the above statement "For <1b, and 1c>: explain what happens to pre & post minority interests/ retained earnings on the date of acquisition and for subsequent reporting.