Direct out-of-pocket costs of a business combination that are part of the cost of the combinee do not include:

Question

Quizplus · Accepted Answer

Direct out-of-pocket costs of a business combination that are part of the cost of the combinee include finder's fees, legal fees for the contract of combination, and CPA firm fees for pre-combination investigation of the combinee. Legal fees for registration of securities issued by the combinor are not considered part of the cost of the combinee; instead, they are often expensed or treated differently in the accounting records.

Direct Out-Of-Pocket Costs of a Business Combination That Are Part