Legal fees as part of acquisition costs

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  • #1605398
    Noorin
    Participant

    When calculation the acquisition cost for an equity investment it in case of purchasing a controlling interest are legal fees a part of acquisition costs ?

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  • #1608807
    Globetrotter
    Participant

    Noorin,

    I was looking at this very question yesterday. According to my Wiley book, audit fees, legal fees, finder's fees are expenses.
    BUT… brokerage commissions, transfer fees are a part of the cost and contribute to the investment asset.

    I am a bit confused about the difference between “finder's fees” and “brokerage fees”.

    Can anyone here help please?

    Thank you.

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