CERTYNEX IFRS ACADEMY

Belmonte holds 70% of a subsidiary that is a CGU. Non-controlling interests were measured at their proportionate share of identifiable net assets, so that the goodwill recognised relates only to the parent's share. Which carrying amount of the CGU must be compared with its recoverable amount?

The carrying amount of the identifiable net assets and of the goodwill recognised, without adjustment.

A carrying amount in which goodwill is notionally grossed up for the share attributable to non-controlling interests.

70% of the carrying amount of the CGU, to make it consistent with the parent's goodwill.

The carrying amount of the identifiable net assets only, goodwill being tested separately.