Exam 4: Appendix B: Wholly Owned Subsidiaries: Reporting Subsequent Acquisitions

Proudfoot Ltd. acquired all the shares of Jacob Ltd. several years ago. In conducting its goodwill impairment test for the current year, Proudfoot has determined that there has been an impairment related to revalued assets. On Proudfoot's consolidated financial statements, where should this impairment be reported?

Under IFRS, how often should goodwill acquired in a business combination be tested for impairment?

For private enterprises that have acquired goodwill in a business combination, which of the following is considered a change of circumstances for purposes of testing for goodwill impairment?

Compare and contrast the goodwill impairment test under IFRS and accounting standards for private enterprises (ASPE).

For private enterprises that have acquired goodwill in a business combination, how often should goodwill be tested for impairment?

How should goodwill acquired in a business combination be allocated?