Amber Ltd. acquired Luna Ltd. in a business combination. One of the main reasons for the acquisition is that Amber wanted access to Luna's extensive customer list. The list is not recorded on Luna's books and has an estimated value of $100,000 and an estimated life of seven years. On Amber's consolidated statement of financial position, what value should be shown for Luna's customer list?

A) $0, since it was not recorded on Luna's books
B) $100,000 less any impairment losses
C) $100,000 less any accumulated amortization (calculated over five years) and any impairment losses
D) $100,000 less any accumulated amortization (calculated over seven years) and any impairment losses

According to the International Financial Reporting Standards (IFRS) 3, when a business combination occurs, the acquirer should recognize the identifiable assets acquired, liabilities assumed, and any non-controlling interest in the acquiree. Identifiable assets can include both tangible and intangible assets regardless of whether they are recorded on the acquiree’s books.
In this scenario, since Luna's extensive customer list is an identifiable intangible asset with a value of $100,000 and an estimated life of seven years, it should be recognized and valued on Amber's consolidated statement of financial position. The customer list should be amortized over its useful life of seven years and reduced by any impairment losses. Therefore, the value shown for Luna's customer list on Amber's consolidated statement of financial position should be $100,000 less any accumulated amortization (calculated over seven years) and any impairment losses. Thus, the correct option is D.