Question 4

The application of the acquisition method depends upon the particular structure of the business combination (BC). Answer the questions in the answer booklet for the takeover type BC and the acquisition of the net assets type BC.

Question 4 Takeover Acquisition of the net assets Describe where and how the recognition and measurement of the identifiable assets acquired and the liabilities assumed occurs: Takeover Acquisition of the net assets Name the liability that the acquirer must recognise, but the acquiree was not allowed to recognise because of NZ IAS 37. Takeover Acquisition of the net assets Describe where and how any goodwill on acquisition is recognised and measured