Hey - I was wondering if someone could help me with the answers for this homework that I have please.

Thanks

ACC2100 / ACF2100 Financial Accounting Semester One 2017 Individual Assignment Weighting: 15% Due date: Wednesday 10th May by 4pm (week 10) Submission: sh is ar stu ed d v i y re aC s o ou urc rs e eH w e r as o. co m 1. A hard copy of the assignment must be submitted in the relevant assignment box on your home campus by the due date. Work submitted for assessment must be accompanied by a completed and signed assignment coversheet. AND 2. A copy of your assignment must be uploaded to Moodle by the due date. Failure to meet one or both of the submission requirements will result in late penalties being applied. Extensions of time and penalties for late lodgement: A penalty of 10% of the total mark allocated to this assessment task will be deducted for each day, or part thereof, it is late. Applications for an extension of time allocated to an in-semester assessment task must be made by completing the in-semester special consideration application form. The application form must be submitted to the Chief Examiner for consideration no later than two University working days after the due date. Return of marks: Marked assignments will be returned to you during tutorials approximately two weeks after the due date. Th General assignment instructions: This is an individual assignment. Plagiarism and collusion are prohibited. 1 https://www.coursehero.com/file/21769864/ACC-ACF2100-Assignment-S1-2017pdf/ Task Details On 1 July 2015, Sunnyside Ltd acquired all of the shares of Long Winter Ltd, on an ex-div. basis, for $2,800,000. At this date, the equity and liability sections of Long Winter Ltd's statement of financial position showed the following balances: Share capital - 500 000 shares General reserve Retained earnings Revaluation surplus Dividend payable $ 1,500,000 240,000 920,000 70,000 25,000 sh is ar stu ed d v i y re aC s o ou urc rs e eH w e r as o. co m The dividend payable at acquisition date was subsequently paid in August 2015. At 1 July 2015, Long Winter Ltd's assets included $80,000 of recorded goodwill. At acquisition date, all the identifiable assets and liabilities of Long Winter Ltd were recorded at amounts equal to fair value except for the following: Land Inventory Equipment (cost $500 000) Carrying amount $1,200,000 56,000 400,000 Fair value $1,320,000 72,000 440,000 The equipment was estimated to have a further 4-year life with no residual value. Of the inventory on hand in Long Winter Ltd at 1 July 2015, 90% was sold in April 2016, and the remaining 10% was sold in July 2016. On 1 January 2017, the equipment was sold to Autumn Leaves Ltd for $280,000. The tax rate is 30%. During the period 1 July 2015 to 30 June 2017, the following intragroup transactions have occurred between Sunnyside Ltd and Long Winter Ltd: Th (T1) From January 2016 to June 2016, Sunnyside Ltd provided management services to Long Winter Ltd for $60,000. Long Winter Ltd paid $40,000 of this balance in April 2016, and the remaining $20,000 was paid in July 2016. (T2) At 30 June 2016, Long Winter Ltd approved and declared a final dividend of $18,000, and Sunnyside Ltd declared and approved a final dividend of $30,000. These dividends were paid on 31 July 2016. (T3) At 30 June 2017, Sunnyside Ltd approved and declared a final dividend of $35,000, and Long Winter Ltd declared and approved a final dividend of $24,000. These dividends were paid on 31 July 2017. (T4) On 1 January 2016, Long Winter Ltd sold equipment to Sunnyside Ltd for $120,000. The cost of the equipment to Long Winter Ltd was $150,000, and the equipment had been depreciated by $40,000 at the time of sale. Equipment has a further five-year life, with zero residual value, and is depreciated on a straight-line basis. 2 https://www.coursehero.com/file/21769864/ACC-ACF2100-Assignment-S1-2017pdf/ (T5) In February 2016, Sunnyside Ltd sold inventory to Long Winter Ltd for $63,000. Sunnyside Ltd had previously purchased the inventory for $42,000. By 30 June 2016, Long Winter Ltd had sold two-thirds of this inventory to Spring Flowers Ltd for $46,000. Long Winter Ltd then sold the remainder of the inventory to Umbrella Ltd in July 2016 for $32,000. (T6) In December 2016, Sunnyside Ltd sold inventory to Long Winter Ltd at a transfer price of $30,000. The transfer price included a mark-up of 25% on cost. Long Winter Ltd sold all of this inventory to Umbrella Ltd in August 2017 for $39,000. sh is ar stu ed d v i y re aC s o ou urc rs e eH w e r as o. co m (T7) On 1 April 2017, Long Winter Ltd sold machinery to Sunnyside Ltd for $85,000. At the time of sale, machinery had a carrying amount of $91,000. Machinery has a further 10year life, with zero residual value, and is depreciated on a straight-line basis. (T8) On 1 July 2015, Long Winter Ltd rented a warehouse to be used jointly by Sunnyside Ltd and Hilltops Ltd with each company paying half the agreed rent to Long Winter Ltd. The total rent paid to Long Winter Ltd was $60,000 for the year ended 30 June 2016, and $70,000 for the year ended 30 June 2017. (T9) Long Winter Ltd Ltd issued 5,000 10% debentures of $100 at nominal value on 1 October 2016. Sunnyside Ltd acquired 500 of these. Interest is payable half-yearly on 31 March and 30 September. Accruals have been recognised in the legal entities' accounts. Required a) Prepare the acquisition analysis and consolidation worksheet entries at 1 July 2015. All workings and narrations must be provided. b) Prepare the consolidation worksheet entries at 30 June 2016. All workings and narrations must be provided. Th c) Prepare the consolidation worksheet entries at 30 June 2017. All workings and narrations must be provided. NOTE: Parts a, b, c must be shown separately (do not combine), with no additional entries included. All intragroup transaction adjustments should be correctly labelled as T1 - T9. All workings and narrations must be shown. Penalties will apply if these requirements are not met. (16 + 34 + 50 = 100 Marks) 3 https://www.coursehero.com/file/21769864/ACC-ACF2100-Assignment-S1-2017pdf/ Powered by TCPDF (www.tcpdf.org)