06-15-2005, 02:20 AM
Guys... A small question.
Company A has spun off its Business A to a sister company B. In A's balance sheet, there is a goodwill component(asset) relating to acquisition of Business A. Business A was earlier acquired from company X.
What will be the treatment of this goodwill. Will it be transferred to company B as an asset and would there be cashflow implications (money to be paid by Company B to A)?
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http//s4.invisionfree.com/AccountingWorld/
Company A has spun off its Business A to a sister company B. In A's balance sheet, there is a goodwill component(asset) relating to acquisition of Business A. Business A was earlier acquired from company X.
What will be the treatment of this goodwill. Will it be transferred to company B as an asset and would there be cashflow implications (money to be paid by Company B to A)?
===========================================
http//s4.invisionfree.com/AccountingWorld/
