Identify entities involved in the merger or acquisition.

  • Identify entities involved in the merger or acquisition.
  • Identify key factors involved in the determination of the transaction price and payment terms.
  • Explain the method used to account for the business combination for financial statement purposes.
  • Evaluate the valuation of assets, including goodwill, and liabilities acquired in the business combination.
  • Discuss the calculation of the investment in the subsidiary on the parent company’s books at the date of acquisition.