Question: What is the primary difference between: ( i ) accounting for a business combination when the subsidiary is dissolved; and ( ii ) accounting for
What is the primary difference between: i accounting for a business combination when the subsidiary is dissolved; and ii accounting for a business combination when the subsidiary retains its incorporation?
If the subsidiary retains its incorporation, there will be no goodwill associated with the acquisition.
If the subsidiary is dissolved, assets and liabilities are consolidated at their book values.
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