Statement 1: The estimated liability on contingent consideration is based on provisional amount subject to measurement period adjustment. Statement 2: The additional paid in capital on contingent consideration is based on provisional amount not subject to measurement period adjustment. a. Only Statement 1 is correct b. Both statements are correct c. Both statements are incorrect d. Only Statement 2 is correct
Statement 1: The estimated liability on contingent consideration is based on provisional amount subject to measurement period adjustment. Statement 2: The additional paid in capital on contingent consideration is based on provisional amount not subject to measurement period adjustment. a. Only Statement 1 is correct b. Both statements are correct c. Both statements are incorrect d. Only Statement 2 is correct
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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Statement 1: The estimated liability on contingent consideration is based on provisional amount subject to measurement period adjustment.
Statement 2: The additional paid in capital on contingent consideration is based on provisional amount not subject to measurement period adjustment.
a. Only Statement 1 is correct
b. Both statements are correct
c. Both statements are incorrect
d. Only Statement 2 is correct
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