Question
At 31 December 20x2 Apple and Blossom reported retained earnings of 394,500 and 240,000 respectively. Identify the consolidated retained earnings as at 31 December 20x2
At 31 December 20x2 Apple and Blossom reported retained earnings of 394,500 and 240,000 respectively. Identify the consolidated retained earnings as at 31 December 20x2 for each of the following independent scenarios. Apple acquired 80% of Blossom's equity on 1 January 20x1 when Blossom reported a retained profit of 90,000. There was a fair valuation gain, recognized atacquisition, of 120,000 and, as a result, an additional depreciation needs to be written off at 15,000 per annum. Negative goodwill on acquisition of Blossom was 58,000. The consolidated retained earnings are?
Select one or more:
a. 502,500
b. 548,500
c. 536,900
d. 560,500
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