A acquires 25 per cent of the voting shares of B on 1 January 2009. The purchase
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A acquires 25 per cent of the voting shares of B on 1 January 2009. The purchase consideration was EUR 10m, and A has significant influence over B. The retained earnings of B were EUR 15m at the date of acquisition, and A has several other subsidiaries. The retained earnings of B at 31 December 2009 amounted to EUR 21m.
Determine the carrying value of the investment in B in the consolidated financial statements as at 31 December 2009.
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Related Book For 
Advanced Financial Accounting An International Approach
ISBN: 9780273712749
1st Edition
Authors: Jagdish Kothari, Elisabetta Barone
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