The following balance sheets of Pop Ltd and Son Ltd were drawn up as at 31 December

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The following balance sheets of Pop Ltd and Son Ltd were drawn up as at 31 December 20X7. Draw up the consolidated balance sheet as at that date.

*The profit figure for 20X7 includes the dividend of £25,000 received from Son Ltd for the year 20X6.

*The balance of £16,000 is after deducting the proposed dividend for 20X6 £25,000.

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Frank Woods Business Accounting Volume 2

ISBN: 9780273693109

10th Edition

Authors: Frank Wood, Alan Sangster

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Question Posted: Sep 08, 2023 09:18 AM

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The following balance sheets of Pop Ltd and Son Ltd were drawn up as at 31 December

Question:

Investment in subsidiary: 80,000 shares bought 31.12.20X6 Fixed assets Current assets Pop Ltd Balance Sheet as at 31 December 20X7 Share capital Profit and loss: As at 31.12.20X6 Add Profit for 20X7* 4 74,000 46,000 3 160,000 200,000 60,000 420,000 300,000 120,000 420,000

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When combining take into account Investment in Son Ltd Since intercompany balances cannot be include...View the full answer

Frank Woods Business Accounting Volume 2

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