Please solve all the questions, this is group case study of ACCT2201 in 2017, I hope someone can help me solve all questions and I'll be very grateful.
ACCT2201 GROUP CASE STUDY On 1 July 2013 Tom Limited acquired all ofthe share capital of Harry Limited for a consideration of $500,000 cash. At that date all the identifiable assets and liabilities were recorded at fair vaiue with the exception of: ASSET Book Value Market Value Inventory 12,000 13,000 Land 25,000 30,000 Plant 45,000 (less depn) 17 0001 28,000 35,000 Acou nts Receivable 21,000 19,000 The inventory was all sold by 30/6/14. The remaining useful life ofthe plant is 7 years. The accounts receivable were collected by 30/6/14 for $19,000 The land was soid on 30/12/16 for $32,000. The plant was on hand still at 30/6/17. At the date of acquisition the equity of Harry Ltd consisted of: Share Capital 320,000 General Reserve 78,000 Retained Earnings 65,000 Information from the trial balances of Tom Ltd and Harry Ltd at 30 June 2017 is presented overleaf. Additional Information 1. On 1 Jan 2017 Harry Ltd sold inventory to Tom Ltd costing $25,000 for $40,000. Half ofthis inventory was sold to outside parties for $28,000 by 30/6/17. 2. On 1 Jan 2016 Harry Ltd sold inventory costing $8000 to Tom Ltd for $11000. Tom Ltd treats the item as equipment and depreciates it at 5% per annum. 3.0n 1 July 2016 Harry sold plant to Tom for $7,000. The plant had cost Harry $8,000 on 1 July 2014 and it was being depreciated at 10% per annum. Tom regards the plant as inventory. The inventory was all sold by 30th July 2016. 4. At 1 July 2016 Harry Ltd held inventory that it had purchased from Tom Ltd on 1 June 2016 at a profit of $4000. All inventory was sold by 30 June 2017 5. Tom Ltd accrues dividends from Harry Ltd once they are deciared. 6. Tom Ltd has earned $1200 in interest revenue in the 2017 financial year from Harry Ltd. 7. Tom Ltd has earned $2400 in service revenue in the 2017 financial year from Harry Ltd. 8. Assume a tax rate of 30%. Trial Balances As at 30 June 2017 Harry Ltd -E-\"-E- CR 668,200 m _ -ma _ 5,500 5,000 7,000 - 71,780 soolooo 320.000 General Reserve 135,000 96,000 Other Equity 1/7/16 4,000 12,000 Gains on Financial Assets 1,000 6,000 9,000 30,000 7,000 168,000 69.480 11000 300.000 7,000 - - 31,000 1,268,580 Reguired: A. Prepare the acquisition analysis at 1 July 2013. B. Prepare the BCVR and pre-acquisition journal entries at 1 July 2013. C. Prepare the BCVR and pre-acquisition journal entries at 30 June 2017. D. Prepare the consolidation worksheet journal entries to eliminate the effects of inter-entity transactions as at 30 June 2017. E. Prepare the consolidation worksheet for the preparation of the consolidated financial statements for the period ended 30 June 2017. F. Prepare the consolidated statement of profit or loss and other comprehensive income, the consolidated balance sheet and the consolidated statement of changes in equity for the period ended 30 June 2017. Presentation Your work should be prepared using an Excel spreadsheet and saved as a PDF to be submitted via LMS by the due date. PLEASE NOTE It is the responsibility of each group member to checkthe entire assignment prior to submission. Each group member must read and sign the Plagiarism Declaration on the Cover Sheet placed on LMS under the Assessments Tab. Please include this cover sheet as the first page in your submitted assignment
