Question
CrystalStar Ltd. has the following balance sheets for 31 December 2023. Prepare the consolidated balance sheet for 31 December 2023. CrystalStar Ltd Balance Sheet as
CrystalStar Ltd. has the following balance sheets for 31 December 2023. Prepare the consolidated balance sheet for 31 December 2023.
CrystalStar Ltd Balance Sheet as at 31 December 2023
Assets | Amount |
Investment in subsidiary (75,000 shares bought 31.12.2022) | $190,000 |
Fixed assets | $260,000 |
Current assets | $70,000 |
Total | $520,000 |
Liabilities and Equity | Amount |
Share capital | $350,000 |
Profit and loss account (31.12.2022) | $60,000 |
Add Profit for 2023 | $110,000 |
Total | $520,000 |
GreenWave Ltd Balance Sheet as at 31 December 2023
Assets | Amount |
Fixed assets | $100,000 |
Current assets | $70,000 |
Total | $170,000 |
Liabilities and Equity | Amount |
Share capital | $80,000 |
Profit and loss account (31.12.2022) | $10,000 |
Add Profit for 2023 | $80,000 |
Total | $170,000 |
Requirement: Prepare the consolidated balance sheet for CrystalStar Ltd. and its subsidiary as at 31 December 2023. Determine the consolidated retained earnings.
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Financial Accounting
Authors: J. David Spiceland, Wayne Thomas, Don Herrmann
3rd edition
9780077506902, 78025540, 77506901, 978-0078025549
