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Module I· Consolidation & Equity MethodIntermediate
Question

What is goodwill from step-up when an investment moves from equity method to full consolidation?

Answer

A move from equity method to control triggers remeasurement of the old stake to fair value and goodwill recognition under acquisition accounting.

Deep diveShow more details

One-time remeasurement gains can inflate net income. Adjust them out in QoE and valuation work.

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