What challenge/ problem did the client come with?

In connection with the acquisition of a competitive entity, the customer is obliged to locate the purchase price.

In accordance with the requirements of the IFRS after the acquisition of another entity it is required to locate the purchase price consisting in the calculation of the fair values of the assets and liabilities taken over, the fair value of the consideration – and, consequently, the determination of goodwill. Such adjusted values are later reported in the consolidated financial statements of the capital group. Our client hired us to determine these values and to show how they should be included in the consolidation and provide guidance on consolidated statement preparation.