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GHS 000 Question 27 The financial statements of three companies are as follows Statement of financial position Ocean Sea GHS 000 GHS 000 Investment in

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GHS 000 Question 27 The financial statements of three companies are as follows Statement of financial position Ocean Sea GHS 000 GHS 000 Investment in Sea (90%) 800 Investment in Lake (40% 500 Investment in Lake (30%) 300 Assets 709 2.000 Share capital (GHS) 500 200 Share premium Retained earnings 8.50 400 Equity 600 500 80 50 510 of 30 Liabilities 2.000 1050 800 Statements of profit or loss Ocean GHS 000 3,150 Sea GHS 000 2.000 GHS 000 2.500 Revenue Operating costs Operating profit 850 500 Tax Profit for the year 250 Additional information 1. Ocean made its investment in Sea three years ago when the retained earnings of Sea were GHS200,000, the fair value of the NCI GHS50.000 and the air value of the nat assets GHSS00.000. The fair value aument relates to the non-depreciable asset of land 2. Ocean made its investment in Lake to years ago when the retained earings of Lale were GHS100,000. The intal investment gave Ocean significant influence over the financial and operating policies of Lake. At that date the caring value of the net assets were not materially different from the fair value 3. Sea made its investment in Lake six months ago. At that date the book value of the net assets were not materially different from their ar value. At that date the fair value of the Ocean's Investment in Lake was GHS700.000 and the fair value of the effective NC in Lake was GHS700.000 4. Ooon has a policy always to calculato goodwill in all of the squisition of a subsidiary. The impairment reviews reveal ng impairment losses are to be recorded. No dividends have been paid in the current year. No group company has issued any shares in the last three years. Proces we assumed tacore evenly Required: Prepare the consolidated starement of financial position and the consolidated statement of proft or loss of Ocean GHS 000 Question 27 The financial statements of three companies are as follows Statement of financial position Ocean Sea GHS 000 GHS 000 Investment in Sea (90%) 800 Investment in Lake (40% 500 Investment in Lake (30%) 300 Assets 709 2.000 Share capital (GHS) 500 200 Share premium Retained earnings 8.50 400 Equity 600 500 80 50 510 of 30 Liabilities 2.000 1050 800 Statements of profit or loss Ocean GHS 000 3,150 Sea GHS 000 2.000 GHS 000 2.500 Revenue Operating costs Operating profit 850 500 Tax Profit for the year 250 Additional information 1. Ocean made its investment in Sea three years ago when the retained earnings of Sea were GHS200,000, the fair value of the NCI GHS50.000 and the air value of the nat assets GHSS00.000. The fair value aument relates to the non-depreciable asset of land 2. Ocean made its investment in Lake to years ago when the retained earings of Lale were GHS100,000. The intal investment gave Ocean significant influence over the financial and operating policies of Lake. At that date the caring value of the net assets were not materially different from the fair value 3. Sea made its investment in Lake six months ago. At that date the book value of the net assets were not materially different from their ar value. At that date the fair value of the Ocean's Investment in Lake was GHS700.000 and the fair value of the effective NC in Lake was GHS700.000 4. Ooon has a policy always to calculato goodwill in all of the squisition of a subsidiary. The impairment reviews reveal ng impairment losses are to be recorded. No dividends have been paid in the current year. No group company has issued any shares in the last three years. Proces we assumed tacore evenly Required: Prepare the consolidated starement of financial position and the consolidated statement of proft or loss of Ocean

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