The Accounting Standards Board (AcSB) has approved a project to provide guidance on the initial measurement of a combination and its related disclosures.
The project will involve:
- proposing criteria to determine whether a combination transaction is considered a merger or acquisition;
- determining the accounting requirements for when the transaction is considered a merger, including the issues of recognition, measurement, and disclosure; and
considering any modifications needed to Section 1582 Business Combinations
, for not-for-profit combination transactions that are considered an acquisition.