Question
Quark acquired 70% of the 1m issued 1 ordinary shares of Whey on 1 January 20X1 when Wheys retained earnings were 1,500,000. The group measures
Quark acquired 70% of the 1m issued 1 ordinary shares of Whey on 1 January 20X1 when Wheys retained earnings were 1,500,000. The group measures non-controlling interest (NCI) at fair value at the acquisition date. The FV of the NCI of Whey as at 1 January 20X1 was 1,325,000.
The retained earnings of Whey at 31 December 20X1 were 2,750,000. Assume no goodwill impairment.
The NCI to be included in the consolidated statement of financial position at 31 December 20X1 will be:
a. 2,150,000
b. None of these options are correct
c. 1,125,000
d. 1,275,000
e. 997,500
f. 2,022,500
g. 1,700,000
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