Alice plc owns 75 per cent of the ordinary shares of Baker plc. The outline income statements
Question:
Alice plc owns 75 per cent of the ordinary shares of Baker plc. The outline income statements of the two companies for the year ended on 31 December are as follows
Required:
Prepare the consolidated (group) income statement for Alice plc and its subsidiary for the year ended 31 December.
Transcribed Image Text:
Income statements for the year ended 31 December Alice plc m Baker plc m Revenue 83 47 Cost of sales (36) (19) Gross profit 47 Administration expenses (14) Distribution expenses (21) Profit before taxation 12 Taxation Profit for the year (4) 8 9x9= 9 (7) (10) (3)
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 100% (QA)
Answered By
Ali Khawaja
my expertise are as follows: financial accounting : - journal entries - financial statements including balance sheet, profit & loss account, cash flow statement & statement of changes in equity -consolidated statement of financial position. -ratio analysis -depreciation methods -accounting concepts -understanding and application of all international financial reporting standards (ifrs) -international accounting standards (ias) -etc business analysis : -business strategy -strategic choices -business processes -e-business -e-marketing -project management -finance -hrm financial management : -project appraisal -capital budgeting -net present value (npv) -internal rate of return (irr) -net present value(npv) -payback period -strategic position -strategic choices -information technology -project management -finance -human resource management auditing: -internal audit -external audit -substantive procedures -analytic procedures -designing and assessment of internal controls -developing the flow charts & data flow diagrams -audit reports -engagement letter -materiality economics: -micro -macro -game theory -econometric -mathematical application in economics -empirical macroeconomics -international trade -international political economy -monetary theory and policy -public economics ,business law, and all regarding commerce
4.00+
1+ Reviews
10+ Question Solved
Related Book For
Financial Accounting For Decision Makers
ISBN: 9781292409184
10th Edition
Authors: Peter Atrill, Eddie McLaney
Question Posted:
Students also viewed these Business questions
-
Arnold plc owns 75 per cent of the ordinary shares of Baker plc. The outline income statements of the two companies for the year ended on 31 December are as follows: Required: Prepare the...
-
Relevant balance sheets as at 31 March 20X4 are set out below: You have recently been appointed chief accountant of Jasmin (Holdings) plc and are about to prepare the group balance sheet at 31 March...
-
Extracts from the financial statements of AB, CD and EF are presented below. Additional information: 1. AB acquired 80 per cent of the ordinary share capital of CD for $620,000 on 1 January 20X1 when...
-
In Exercises, use the alternative form of the derivative to find the derivative at x = c (if it exists). f(x) = 1 x + 4' c = 3
-
Name the six kinds of informal reports. Explain their purpose.
-
True or False: A rotor that has been balanced down to the G specification is considered ready to ship.
-
Which of the following procedures is most telling in addressing the existence assertion for accounts payable? a. Test for unrecorded liabilities. b. Confirm balances with creditors. c. Verify the...
-
This is the trial balance of Slocombe Company on September 30. The October transactions were as follows. Oct. 5 Received $1,300 in cash from customers for accounts receivable due. 10 Billed customers...
-
On the following graph, use the blue points (circle symbol) to plot Simone's initial production possibilities frontier (PPF). EMBROIDERED SWEATERS 30 25 8 15 10 5 0 0 1 2 3 4 TEA TOWELS 5 00 7 8...
-
Segmental information relating to Dali plc for the year to 31 December 2021 is shown below: Required: Analyse the performance of each of the three main business segments for the year and comment on...
-
Quite often, when an existing company wishes to start a new venture, perhaps to produce a new product or render a new service, it will form a subsidiary company as a vehicle for the new venture. In...
-
Baltimore, Inc., is a U.S.-based MNC that obtains 10 percent of its supplies from European manufacturers. Sixty percent of its revenues are due to exports to Europe, where its product is invoiced in...
-
Base on what do ABC Analysis and dividing the inventory items into classes, how you may deal with items in C?
-
Canada main drivers of energy transitions from biomass to coal to crude oil, natural gas, nuclear energy or other primary energy sources. What was the impact of each transition on the economy, per...
-
Marigold Corp. is constructing a building. Construction began in 2025 and the building was completed 12/31/25. Marigold made payments to the construction company of $2994000 on 7/1, $6216000 on 9/1,...
-
Nora invested $8,000 in a qualified tuition program for the benefit of her son. Four years later her son, Michael withdrew $10,000, the entire balance in the program, to pay his college tuition. How...
-
Credit card A charges 16.25% interest, compounded continuously. Credit card B charges 16.3% interest, compounded monthly. What is the effective rate of credit card A? % What is the effective rate...
-
Mitchell Parts Co. had the following plant asset transactions during the year: 1. Assets discarded or sold: Jan. 1 Motor #12, which had a cost of $2,800 and accumulated depreciation of $2,800, was...
-
A heat engine has a heat input of 3 Ã 104 Btu/h and a thermal efficiency of 40 percent. Calculate the power it will produce, in hp. Source 3 x 10 Btu/h 40% HE Sink
-
Diversified Industries plc (DI) is a business that has interests in engineering, caravan manufacturing and a chain of shops selling car accessories. DI has recently been approached by the directors...
-
(a) Calculate the Z-scores for Ali plc and Bhaskar plc (see SAQ 7.1 on pages 250 251), using the Altman model set out on page 280. (b) Comment on the Z-scores for the two businesses and the validity...
-
Telford Industrial Services plc is a medium-sized business. Extracts from the businesss financial statements appear below. Required: Prepare a set of common-sized statements of financial position and...
-
A race car decelerates at a constant rate from 2 5 0 km / h ( at point A ) to 5 0 km / h ( at point B ) . If the kinetic friction coefficient between the car and road is 0 . 8 , determine the radius...
-
Part B: In-text Citations (6 marks total: 2 marks each) Task: For each question below, compose a sentence with correctly formatted APA in-text citations using the given requirements and information....
-
Solve the following problem showing your work as explained above. Do not take shortcuts. Review your work before submitting it and ask yourself can someone tell what problem I m solving and how I did...
Study smarter with the SolutionInn App