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In a business combination accounted for as an acquisition, how should the excess of fair value of identifiable net assets acquired over implied value be treated?

a) Amortized as a credit to income over a period not to exceed forty years.

b) Amortized as a charge to expense over a period not to exceed forty years.

c) Amortized directly to retained earnings over a period not to exceed forty years.

d) Recognized as an ordinary gain in the year of acquisition.

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Accounting Basics, Accounting

Category:- Accounting Basics
Reference No.:- M9449356

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