Explain the significance of the acquisition date

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Reference no: EM13138709

1. Briefly explain the significance of the acquisition date and the date of exchange and outline how the consideration (in a business acquisition) is calculated when the acquisition of the target company is carried out in stages.

2. Explain the consequences of NOT eliminating a sale and purchase of a fixed asset between two companies within the group. Assume that the sale and purchase has resulted in a loss on sale.

Reference no: EM13138709

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