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Two Entities a Limited and B Limited Together Form a Third

Question 9

Multiple Choice

Two entities A Limited and B Limited together form a third entity,C Limited.C Limited acquires A Limited and B Limited.In this situation,AASB 3 Business Combinations,adjudges that:


A) A Limited and B Limited cease to exist and C Limited is the acquirer
B) The combined A Limited and B Limited,is the acquirer of C Limited
C) C Limited is considered to be the acquirer
D) C Limited is not to be considered to be the acquirer.

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