In a business combination, Altaïr SA, the acquirer, replaces awards held by employees of the acquiree with replacement awards whose fair value is 500,000. The share of pre-combination service, determined under IFRS 3, is 60 % (case data); the market-based measure of the acquiree awards replaced equals that of the replacement awards (case data). Compute the part included in the consideration transferred and the part that will be a post-combination expense.
- Fair value of the replacement award (case data)
- 500,000
- Share of pre-combination service (case data, under IFRS 3)
- 60 %