Question: A. Y Ltd acquired K Ltd at a cost of $2.8m. The fair value of K Ltd's assets is assessed at $3.5m and the fair

A. Y Ltd acquired K Ltd at a cost of $2.8m. The fair value of K Ltd's assets is assessed at $3.5m and the fair value of its liabilities at $1.4m. Calculate the amount of goodwill to be recorded in the balance sheet of Y Ltd.
B. Briefly outline two major advantages of the trust as a form of business structure.
C. Briefly discuss the role that the stock exchange plays in the business environment.
D. List four desirable qualitative characteristics of financial accounting information that are found in the Conceptual Framework and explain the meaning of two of the characteristics you have listed.

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