Which of the following statements is true about pooling of interests method of accounting for business combinations?
A)The pooling of interests method is no longer acceptable under IFRS.
B)Goodwill arises only when the pooling of interests method is used for business combinations.
C)Pooling of interests is used for international consolidations but never for domestic consolidations.
D)The purchase method is used only when less than 100% of an entity's voting shares are acquired.

Question

Quizplus · Accepted Answer

The statement is true as the pooling of interests method was eliminated by IFRS and replaced by the acquisition method.

Which of the Following Statements Is True About Pooling of Interests