“Business combinations” is the technical term for acquisitions. In each acquisition we need to identify:
The parties involved, i.e. the investor obtaining control of the investee, as a result of this transaction;
The means by which the investor obtains control, i.e. the consideration;
The value of the investee on acquisition;
The result of the comparison between b and c, i.e. the goodwill arising on acquisition.
The investor obtains control of the investee, when as a result of the business combination, the investor obtains the power “to govern the financial and operating policies of the investee, so as to obtain benefits from the activities of the investee”.