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On 1 July 2022, YING Ltd acquires the business of YANG Ltd. The agreed cash consideration for the transaction is as follows: $250 000
On 1 July 2022, YING Ltd acquires the business of YANG Ltd. The agreed cash consideration for the transaction is as follows: $250 000 due immediately and $250 000 due on 30 June 2023. The appropriate discount rate is 5% p.a. What is the journal entry of YING Ltd on 30 June 2023? O a. DR. Consideration Payable $250 000 CR. Cash $250 000 O b. DR. Consideration Payable $500 000 C. CR. Cash $500 000 DR. Consideration Payable $237 500 DR. Interest Expense $12 500 CR. Cash $250 000 d. DR. Consideration Payable $238 095 DR. Interest Expense $11 905 CR. Cash $250 000
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