Publicly Traded U.S. Multinational Corporation Acquisition
Use the Internet to research a publicly traded U.S. multinational corporation that has recently acquired another multinational corporation.
Write a six to eight (6-8) page paper in which you:
1. Briefly describe the acquisition you have selected.
2. Analyze the accounting requirements for the business combination and discuss challenges in preparing the financial statements for the consolidation of subsidiaries on the date of acquisition.
3. Evaluate the amount of goodwill or other intangible assets derived from the transaction and explain whether or not you support that this value was created as a result of the business combination.
4. Analyze special issues related to business consolidations including changes in ownership, insolvency, liquidation, and reorganization resulting from the acquisition you selected.
5. For the company your selected, identify the key areas of difference for the acquisition reporting if IFRS was used instead of US GAAP and if the difference would be material to the profitability of the combined entity.
6. Include three (3) external sources to support your position.
Your assignment must follow these formatting requirements:
> Be typed, double spaced, using Times New Roman font (size 12), with one-inch margins on all sides; citations and references must follow APA or school-specific format. Check with your professor for any additional instructions.
> Include a cover page containing the title of the assignment, the student’s name, the professor’s name, the course title, and the date. The cover page and the reference page are not included in the required assignment page length.
The specific course learning outcomes associated with this assignment are:
> Analyze the accounting requirements for business combination and prepare the financial statements for the consolidation of subsidiaries on the date of acquisition.
> Analyze the effect of allocation and depreciation of difference between implied and book values.
> Analyze special issues related to business consolidations including changes in ownership, insolvency, liquidation, and reorganization.
> Examine the similarities and differences between US GAAP and IFRS, and the related requirements for accounting in the international marketplace.
> Use technology and information resources to research issues in advanced accounting.
> Write clearly and concisely about advanced accounting using proper writing mechanics.