JB Company recently acquired 100% of Sampson Company for $150,000 cash. Both companies are located outside of the United States and JB needs to prepare consolidated financial statements. JB provided the following information regarding the Sampson€™s account values at acquisition:

Required: 

Utilize eIFRS to find authoritative guidance regarding business acquisitions and the valuation of items acquired. Prepare the acquisition journal entry based upon your research. Prepare a report to be presented to JB Company€™s management with specific authoritative literature references.

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Account Cost basis Accounts receivable (net)| $25,000 Fair value basis $20,000 $200,000 Building $150,000 Accounts payable Bonds payable $18,000 $18,000 $125,000 $100,000