Atold Corporation reports goodwill of $40 million on acquisition of Benholm Company. One month later, Atold learns that Benholm's portfolio of AFS debt investments is worth $3 million more than estimated at the date of acquisition.

How is this reported, if the information is (1) a better estimate of the portfolio's value at the date of acquisition (within the measurement period), or (2) is due to events occurring subsequent to the acquisition (after the measurement period).

(1) Within the measurement period

(2) After the measurement period

A.

Decrease in goodwill

Gain in OCI

B.

Decrease in goodwill

Not reported

C.

Not reported

Gain in OCI

D.

Gain in OCI

Not reported

Answer rating: 100% (QA)

Generally the measurement period should last a reasonable amount ... View the full answer