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A Ltd acquired 8000 shares of 10 each in omega limited on December 31 2014 please write with detailed explanation marized balance sheets of the
A Ltd acquired 8000 shares of 10 each in omega limited on December 31 2014
please write with detailed explanation
marized balance sheets of the two companies as on that summarized are given below. Particulars A Ltd. RE Omega Ltd. Rs. 300,000 100,000 25,000 38,200 52,000 5,000 18,000 QUITY AND LIABILITIES 7 Shareholders' funds et Share Capital a 30000 Equity shares of Rs. 10 each fit 10000 Equity shares of Rs. 10 each Reserves & Surplus Capital reserve Other Reserve (General reserve) Surplus (P&L alc) of furrent liabilities Short term borrowings of Loans from related parties (Omega Ltd.) ect Trade payables Bills Payable (including 500 to A Ltd) TOTAL ISSETS Jon-current assets Fixed Assets eral Non-current investments 000 Trade Investment Ltd, Investment in equity instruments (Shares in 2.100 17,900 5,000 1,700 181.700 383,200 ok ing 150,000 144,700 170,000 Ltd. Omega Ltd. @ cost) Ltd. rent Assets from Inventories je of Trade receivables 20,000 10,000 40,000 20,000 1,200 2,000 5,000 t yet Balls receivable (including 200 from Omega) Cash and cash equivalents Short Term loans & advances Loans & advances to related parties (Loan to A Ltd.) 2,000 181,700 imited TOTAL 383,200 You are given the following information: - jer o Omega Limited made a bonus issue on 31 December 201 of one share for every two shares held, reducing the capital reserve equivalently, but this transaction is not shown in the above balance sheets. Interest receivable (100) in respect of the loan due by A Limited to Omega Limited has not been credited in the accounts of Omega Limited. The directors decided that the fixed assets of Omega Limited were overvalued and should be written down by 5000 as of date. Prepare the consolidated balance sheet as at 31st December 2014 showing our workingsStep by Step Solution
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