_____ In purchase accounting in which cash is the consideration given, which of the following items cannot be added to the cost of the acquisition (or does not result in an increase thereto)?
A) The fair value of the consideration given.
B) Direct costs traceable to the acquisition.
C) Contingent consideration relating to securities prices.
D) Contingent consideration relating to other than securities prices.
E) None of the above.

Question

Quizplus · Accepted Answer

Contingent consideration relating to securities prices cannot be added to the cost of acquisition as it is not considered part of the purchase price under purchase accounting rules.

_____ in Purchase Accounting in Which Cash Is the Consideration