1. Fifer Co acquired 80% of the equity shares of Grampian Co on 1 January 20X4 for $5,000,000. The fair value of Grampian Co’s net assets at the date of acquisition was $4,000,000. At 31 December 20X4, Fifer Co has determined that goodwill is impaired by 10%.
2. 
   
3. Required:
4. For each of the following scenarios, calculate the value of goodwill at 31 December 20X4:
5. 1. Non-controlling interest is valued at its fair value of $1,000,000; and
6. 2. Non-controlling interest is valued as a proportionate share of net assets.

Answer rating: 100% (QA)

Sure lets calculate the value of goodwill for each scenario 1 Noncontrolling interest is valued at i... View the full answer