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Business Combination & Consolidation Simulator

Simulate goodwill and consolidation entries under the acquisition method.

Business Combination Details

Parent (Acquirer) Information

Consideration Transferred

Acquisition Percentage (%)

Subsidiary (Acquiree) Information

Net Assets Book Value (BV)

Identifiable Net Assets Fair Value (FV)

Consolidation Entry & Analysis (at Acquisition Date)

1. Calculate Fair Value of Noncontrolling Interest (NCI)

$50,000,000

2. Calculate Total Fair Value of Subsidiary

$125,000,000

3. Calculate Goodwill or Gain on Bargain Purchase

Goodwill: $65,000,000

Consolidating Journal Entry (CAR-BIG)

Account	Debit	Credit