Goodwill is defined in IFRS 3/AASB 3 Business Combinations as:
A) an asset having no physical substance.
B) an asset not specifically brought to account.
C) the benefits of a favourable reputation.
D) future economic benefits arising from assets that are not capable of being individually identified and separately recognised.

Question

Quizplus · Accepted Answer

Goodwill in IFRS 3/AASB 3 is defined as future economic benefits arising from assets that are not capable of being individually identified and separately recognised. This reflects the excess of the purchase consideration over the fair value of net assets acquired in a business combination.

Goodwill Is Defined in IFRS 3/AASB 3 Business Combinations As