Determine whether the following transactions would appear in the statement of profit or loss and other comprehensive
Question:
Determine whether the following transactions would appear in the statement of profit or loss and other comprehensive income. If so explain how they would be disclosed.
(a) A gain on foreign currency translation of $83 000.
(b) As a result of a fall in share prices in a recession, directors decided to write down the value of the company’s investment, Shares in Pluto Ltd, by $80000.
(c) Loss from discontinued business operations.
(d) Dividend paid of $1 500 000 in total.
(e) Inventory costing $120 000 is sold for $160 000.
(f) A transfer of $500 000 is made to general reserve from retained earnings.
DividendA dividend is a distribution of a portion of company’s earnings, decided and managed by the company’s board of directors, and paid to the shareholders. Dividends are given on the shares. It is a token reward paid to the shareholders for their...
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Accounting
ISBN: 978-1118608227
9th edition
Authors: Lew Edwards, John Medlin, Keryn Chalmers, Andreas Hellmann, Claire Beattie, Jodie Maxfield, John Hoggett