Intercorporate Inv - Reading 19 - Example 4 vs Example 5

CFA Level II FRA
#1

Volume-2, Study Session 6, Reading-19 - Intercorporate Investments

In Example-4, question-2 (on curriculum page-133)

The amortization of excess purchase price is considered in calculating investment in associate.

Whereas - In Example-5, question 2 (on curriculum page- 136) -

Amortization of the building undervalued by 40,000, is not considered.

Why is it not considered in the latter case? Please help! Very confused.

Thanks in advance.

#2

Is it not in excess of its fair-value? Remember Goodwill = Purchase price - fair-value of net identifiable assets - book value.

Just checked the book, they are amortizing the 10k of excess purchase price (of fair-value) and amortizing it over a 20 year period. Perhaps take another closer look at the top of page 137 where they show the 10k for buildings