In October 2014, Anheuser Busch InBev (AB InBev) acquired 100 percent of the common stock of SABMiller Group by paying $103,136 million in total consideration. On the acquisition date, the total fair value assigned to tangible and intangible assets acquired (excluding goodwill) was $61,896 million, while the total fair value assigned to liabilities assumed was $31,165 million. What is the value of goodwill recognized in AB InBev's consolidated financial statements as a result of the SABMiller Group acquisition?

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Zviko

Answer:

the value of goodwill recognized in AB InBev's consolidated financial statements is $70,405.

Explanation:

Goodwill is the excess of the Purchase consideration over the Fair Value of the Net assets taken over.

Calculation of Goodwill

Purchase Consideration                                                         $103,136

Less Fair Value of Net Assets taken over :

Fair Value of Assets                                             $61,896

Fair Value of Liabilities                                         ($31,165)    ($30,731)

Goodwill                                                                                   $70,405