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On 1 July 2027, Investor Ltd (Investor) acquired all of the ordinary shares in Investee...

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Accounting

On 1 July 2027, Investor Ltd (Investor) acquired all of the ordinary shares in Investee Ltd (Investee) by paying cash. At that date, the equity of Investee was as follows. $ Issued capital (100 000 shares issued) 100 000 Retained earnings 80 000 Total equity 180 000 Acquisition-related costs totaled $2000 On acquisition, Investor revalued the assets of Investee to fair value, resulting in a revaluation increment of $20 000. The revaluation led to the recognition of deferred tax liability of $6000. The amount of goodwill included in the consolidated statement of financial position was $10 000. Required Calculate the amount of the consideration paid by Investors for the shares in Investee. Show workings and calculations.

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