IASB Standards

CFA Level I
#1

From CFAi text, ------------------- Under IASB standards, negative goodwill A. must be recorded as a gain B. is prorated to noncurrent assets. C. is accounted for as an extraordinary item. D. is amortized to income over a 10-year period.

#2

I’m guessing C

#3

cavil, no extraordinary item is allowed under IFRS

#4

i think it’s included in equity, not sure though with IFRS,

#5

Pretty sure negative goodwill is recorded as a gain, A)

#6

i think A too Taking over a firm at less than its book value. Gain in my book

#7

It’s recorded as a gain. See CFA vol3 pg 689