Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Banjo Ltd acquired 1 0 0 % of Wellington Ltd on 1 July 2 0 2 1 . The balance sheet of Wellington Ltd on

Banjo Ltd acquired 100% of Wellington Ltd on 1 July 2021. The balance sheet of Wellington Ltd on that date was as follows:Balance sheet at 1 July 2021NZSNZSMachinery at cost560000Share capital400000Investment property400000Gencral reserve200000Receivables10000Retained earnings600000Cash14000012000001200000The balance sheet of Wellington Ltd as at 30 June 2022 is as follows: Balance sheet as at 30 June 2022:Balance sheet as at 30 June 2022NZSNZSMachinerycarrying value300000Share capital400000Investment property400000General Reserve200000Receivables500000Retained earnings1\Omicron \Omicron Cash600000Accounts payable170000Income tax payable3000018000001800000Relevant exchange rates are as follows:NZSAS1 July 20211.000.950.851.000.90 If the local currency of Wellington Ltd is New Zealand dollars and the functional currency is Australian dollars the total assets of NZ$1,800,000 would translate into Australian dollars as:30 June 20221.00Average 2021-22

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Trends In Quantitative Finance

Authors: Frank J. Fabozzi, Sergio M. Focardi, Petter N. Kolm

1st Edition

1932495495, 978-1932495492

More Books

Students also viewed these Accounting questions