Answer :

Answer:

Step-by-step explanation:

At Par (₹100 each):

Latha Limited pays ₹54,00,000 in cash to acquire Aadhira.

The entry would be:

Dr. Business Acquisition (Goodwill) ₹54,00,000

   Cr. Cash ₹54,00,000

At Premium (20%):

If Latha Limited pays a premium of 20%, the total consideration would be: ₹54,00,000 + 20% = ₹64,80,000

The entry would be:

Dr. Business Acquisition (Goodwill) ₹64,80,000

   Cr. Cash ₹64,80,000

At Discount (10%):

If Latha Limited pays at a discount of 10%, the total consideration would be: ₹54,00,000 - 10% = ₹48,60,000

The entry would be:

Dr. Business Acquisition (Goodwill) ₹48,60,000

   Cr. Cash ₹48,60,000