Over the years there has been considerable debate in the financial community concerning the requirements of Accounting Standard AASB 1013 Accounting for Goodwill . In a recent case, Solomon Pacific v Acacia Resources Ltd (1996)19 ACSR 677 (noted at (1996) 14 CSLJ 485), some complex issues involving the goodwill standard were considered by the courts. The decision which required Acacia Resources to comply with AASB 1013 was not well received by companies in the mining industry. They have argued that AASB 1013 should not apply to mining acquisitions. This note will analyse the issues dealt with in the case.
Company and Securities Law Journal,
Vol.15, no. 3 (1997), pp. 193-196