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Pope plc purchased 80% of the voting-share capital of Jon Ltd on 1st February 2020 paying 190,000 for the shares of Jon Ltd. The
Pope plc purchased 80% of the voting-share capital of Jon Ltd on 1st February 2020 paying 190,000 for the shares of Jon Ltd. The Statements of Financial Position of Pope plc and Jon Ltd just after the acquisition showed the following: Pope Jon Plc Ltd Non-current assets: Property, plant & equipment Investment in Jon Ltd Current assets Non-current liabilities Current liabilities Equity: Share Capital Retained earnings and reserves 620,000 140,000 190,000 45,000 105,000 855,000 245,000 250,000 75,000 120,000 30,000 435,000 125,000 50,000 15,000 855,000 245,000 In preparing the consolidated statement of financial position the following was revealed: Jon Ltd non-current assets are recorded at their original cost. On the date of acquisition the fair value of these assets was estimated to be 150,000. Calculate the consolidated figure for Property, Plant and Equipment for Pope plc on 1st February 2020 after the acquisition.
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Step 12 Step 1 Calculate the amount of noncurrent assets of Jon Ltd a...Get Instant Access to Expert-Tailored Solutions
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