All the identifiable net assets of Lyon Ltd were recorded by Lyon Ltd at fair value except for the inventories, which were considered to be worth $190,000 (assume no tax effect). The plant had an expected remaining life of 5 years. The business combination was completed and Lyon Ltd went into liquidation. Pant Ltd incurred incidental costs of $4,000 in relation to the acquisition. Costs of issuing shares in Pant Ltd were $6,000. Required a. Prepare the acquisition analysis for Pant Limited (10 marks) Prepare the journal entries in the records of Pant Ltd to record the business combination
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