Q3 The following information has been extracted from the financial statements of Blake Ltd and its subsidiary Seven Ltd at 30 June 2019 Blake Ltd (S) Seven Ltd (5) Reconciation of opening and cosing retained earnings Sales revenue Cost of goods sold Gross proft Dividends revenue from Seven Ltd 498.800 (399,040) 204680) 294,120 593,400 194,360 63,984 Management fee revenue Profit on sale of plant Expenses Administrative expenses Depreciaion Management fee expense Other expenses Profit before tax Tax expense Profit for the year Retained earnings-30 June 2018 22,790 30.100 (26,488) (21,070) (33,282) (48,848) (22,790) 85 946 176,730 152.890) 123,840 122,980 86,688 398,524 292,400 Dividends paid Retained earnings-30 June 2019 118 164)(79,980) 212.420 Statements of financial posioon Shareholders' equity Retained earnings Share capital Current liabivties 280,360 301,000 212,420 172,000 47,042 35,518 39,818 21,500 Accounts payable Tax payable Non-current NabiNties Loans 149,210 99760 313.130545.498 Cuwrent assets Accounts receivable 51,084 53,578 24,940 79,120 Non-cuwrent assets Land and buildings Plant-at cost Accumulated depreciation Investment in Seven Ltd 280,360 305,988 (73,745) (119,368) 192,640 257,871 306, 160 813,130 545,498 Other inormation 1. Blake Ltd acquired its 80 per cent interest in Seven Ltd on 1 July 2010. At that date the capital and reserves of Seven Lid were: Share capital Retained earnings $172,000 $146,200 $318,200 At the date of acquisition all assels were considered to be fairly valued. 2 3. During the year Blake Ltd made total sales to Seven Ltd of $55,900, while Seven Ltd sold 4. The opening inventory in Blake Ltd as at 1 July 2018 included inventory acquired from 5. The closing inventory in Blake Ltd includes inventory acquired from Seven Ltd at a cost of The management of Blake Ltd use the partial goodwill method S44,720 in inventory to Blake Ltd. Seven Ltd for $36,120 that cost Seven Ltd $30,100 to produce S28,896. This cost Seven Ltd $24,080 to produce. The College of Businoss and LW ACT306 Corporate Accouning Sernester 2 2018 Page 3 of 5 Q3 The following information has been extracted from the financial statements of Blake Ltd and its subsidiary Seven Ltd at 30 June 2019 Blake Ltd (S) Seven Ltd (5) Reconciation of opening and cosing retained earnings Sales revenue Cost of goods sold Gross proft Dividends revenue from Seven Ltd 498.800 (399,040) 204680) 294,120 593,400 194,360 63,984 Management fee revenue Profit on sale of plant Expenses Administrative expenses Depreciaion Management fee expense Other expenses Profit before tax Tax expense Profit for the year Retained earnings-30 June 2018 22,790 30.100 (26,488) (21,070) (33,282) (48,848) (22,790) 85 946 176,730 152.890) 123,840 122,980 86,688 398,524 292,400 Dividends paid Retained earnings-30 June 2019 118 164)(79,980) 212.420 Statements of financial posioon Shareholders' equity Retained earnings Share capital Current liabivties 280,360 301,000 212,420 172,000 47,042 35,518 39,818 21,500 Accounts payable Tax payable Non-current NabiNties Loans 149,210 99760 313.130545.498 Cuwrent assets Accounts receivable 51,084 53,578 24,940 79,120 Non-cuwrent assets Land and buildings Plant-at cost Accumulated depreciation Investment in Seven Ltd 280,360 305,988 (73,745) (119,368) 192,640 257,871 306, 160 813,130 545,498 Other inormation 1. Blake Ltd acquired its 80 per cent interest in Seven Ltd on 1 July 2010. At that date the capital and reserves of Seven Lid were: Share capital Retained earnings $172,000 $146,200 $318,200 At the date of acquisition all assels were considered to be fairly valued. 2 3. During the year Blake Ltd made total sales to Seven Ltd of $55,900, while Seven Ltd sold 4. The opening inventory in Blake Ltd as at 1 July 2018 included inventory acquired from 5. The closing inventory in Blake Ltd includes inventory acquired from Seven Ltd at a cost of The management of Blake Ltd use the partial goodwill method S44,720 in inventory to Blake Ltd. Seven Ltd for $36,120 that cost Seven Ltd $30,100 to produce S28,896. This cost Seven Ltd $24,080 to produce. The College of Businoss and LW ACT306 Corporate Accouning Sernester 2 2018 Page 3 of 5
