Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

I ULJ On Ist Sep 2019 Ales company acquired 24 million 52 shares in Marty company at per share. At that date Marty company produced

image text in transcribed
I ULJ On Ist Sep 2019 Ales company acquired 24 million 52 shares in Marty company at per share. At that date Marty company produced the following interim financial statements Nes-Current Assets Property. Plant and Equipment Current Assets Trade Receivable Cash in Hand TOTAL ASSETS 1819 Equity Share Capital (S2 per share) Retain aming Non-current Liabilities Loans Current Liabilities Trade Payable Taxation Bank Overdraft ADVANCED CORPORATE REPORTINGHAUSES ASSIGNMENT OF SPRING-2000 Notes: 1. The following information relates to the property, plant and equipment of Marty company at Ist September 2019 Smillion Gross Replacement cost Net replacement Congress replacement cost-Ace Depreciate Economic value Net realisable value 2. The inventories which were shown in the interim financial statements are raw materials at cost to Marty company of 12 million. They would have cost 514 million to replace at 1st September 2019 3. It is group policy to recognize NC at full (fr) value Required: Compute the goodwill os consolidation of Marty company that will be included in the consolidated financial statement of Alex group for the year ended 31st Dec 2019, explaining your treatment of the items mentioned above. You should refer to the provisions of relevant accounting standards. Goodwill Calculation Justification: Marks 1 Mark

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

Principles Of Auditing And Other Assurance Services

Authors: Ray Whittington, Kurt Pany

16th Edition

007352686X, 978-0073526867

More Books

Students also viewed these Accounting questions

Question

For the following exercises, evaluate the expressions. tan 1 (1/3)

Answered: 1 week ago