Question

exces of cost of investment over paid up value of the shares is co sidered as.....​

Answer 1

Answer:

Cost of control is the exces price paid for investment over and above proportionate share of net assets acquired by the holding company. 4. There is no need to show inter company dividends in the consolidated profit and loss account.

Answer 2

Answer:

The excess of the cost of investment over paid up values of the shares is known as goodwill.

Step-by-step explanation:

• An intangible asset known as goodwill is connected to the acquisition of one business by another.
• The percentage of the purchase price that is greater than the total net fair value of all the assets acquired in the acquisition than the sum of the liabilities absorbed throughout the process is known as goodwill.
• The fair value of the assets and liabilities of the acquired business are added to the fair market value of the business' assets and liabilities to determine goodwill.
• Goodwill is the price premium above the net identifiable assets' fair market value.