Question

T-Mobile 8:07 PM Q 14 Use the "advanced search" feature (search by exact phrase) to find the ASC reference (ASC xxx-xx-xx-x) for the following guidance excerpt: "The acquirer shall recognize separately from goodwill the identifiable intangible assets acquired in a business combination."

Answer 1

Solution: ASC 805-20-25-01

Explanation: Using the feature of “advanced search” the ASC for the guidance will be 805-20-25-1. However the public companies does not need to disclose their financial statements. The SEC states all public traded company to report their financial statement to the public as per GAAP: ASC 805-20-15 codification..

The Paragraph 805-10-25-1 states that a business combination can be accounted for; by applying what is referred to as the method of acquisition. This method requires the. identification of the acquirer; determining the date of acquisition; measuring and recognizing the identifiable assets acquired, the liabilities assumed, and any non-controlling interest in the acquiree; and recognizing the gain or goodwill from a bargain purchase