1 On 1 April 20X6 lota purchased all the equity capital of Kappa, and Kappa became...

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1 On 1 April 20X6 lota purchased all the equity capital of Kappa, and Kappa became a subsidiary from that date. Kappa sells a branded product that has a well-known name and the directors of lota have obtained evidence that the fair value of this name is $20 million and that it has a useful economic life that is expected to be indefinite. The value of the brand name is not included in the statement of financial position of Kappa, as the directors of Kappa do not consider that it satisfies the recognition criteria of IAS 38 for internally developed intangible assets. However, the directors of Kappa have taken legal steps to ensure that no other entities can use the brand name. 1 On 1 April 20X6 lota purchased all the equity capital of Kappa, and Kappa became a subsidiary from that date. Kappa sells a branded product that has a well-known name and the directors of lota have obtained evidence that the fair value of this name is $20 million and that it has a useful economic life that is expected to be indefinite. The value of the brand name is not included in the statement of financial position of Kappa, as the directors of Kappa do not consider that it satisfies the recognition criteria of IAS 38 for internally developed intangible assets. However, the directors of Kappa have taken legal steps to ensure that no other entities can use the brand name.

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Fusion 136 million and Spine 30 million The fair value of the net assets at 1 December 20X3 was Larg... View the full answer