In comparing U.S. GAAP and international financial reporting standards (IFRS) with regard to a basis for measurement of a non-controlling interest, which of the following is true?
A) U.S. GAAP requires acquisition-date fair value measurement and IFRS requires the acquiree's identifiable net asset fair value measurement.
B) U.S. GAAP and IFRS both require acquisition-date fair value measurement.
C) U.S. GAAP and IFRS both require the acquiree's identifiable net asset fair value measurement.
D) U.S. GAAP requires acquisition-date fair value measurement, but IFRS allows an option for acquisition-date fair value measurement.
E) U.S. GAAP and IFRS both apportion goodwill to the parent only.

Question

Quizplus · Accepted Answer

U.S. GAAP requires non-controlling interests to be measured at acquisition-date fair value. IFRS allows an option to measure non-controlling interests either at fair value or at the proportionate share of the acquiree's identifiable net assets.

In Comparing U