Question #1. (5+5) A) On 1 January 2019 Panther Company acquired 30 percent of Ather Inc. common shares for the cash price of Rs.500.000 (both companies are fictitious). It is determined that Panther has the ability to exert significant influence on Ather's financial and operating decisions. The following information concerning Ather's assets and liabilities on 1 January 2019 is provided: Ather, Inc Current assets Plant and equipment Book Value Rs.100,000 1,900,000 Rs.2,000,000 Rs.300,000 800,000 Rs.1,200,000 Fair Value Rs. 100,000 2,200,000 Rs.2,300,000 Difference 0 300,000 Liabilities Net assets Rs.300,000 800,000 0 Rs.1,500,000 The plant and equipment are depreciated on a straight-line basis and have 10 years of remaining life. Ather reports net income for 2019 of Rs. 100.000 and pays dividends of Rs.50,000. Question #1. (5+5) A) On 1 January 2019 Panther Company acquired 30 percent of Ather Inc. common shares for the cash price of Rs.500.000 (both companies are fictitious). It is determined that Panther has the ability to exert significant influence on Ather's financial and operating decisions. The following information concerning Ather's assets and liabilities on 1 January 2019 is provided: Ather, Inc Current assets Plant and equipment Book Value Rs.100,000 1,900,000 Rs.2,000,000 Rs.300,000 800,000 Rs.1,200,000 Fair Value Rs. 100,000 2,200,000 Rs.2,300,000 Difference 0 300,000 Liabilities Net assets Rs.300,000 800,000 0 Rs.1,500,000 The plant and equipment are depreciated on a straight-line basis and have 10 years of remaining life. Ather reports net income for 2019 of Rs. 100.000 and pays dividends of Rs.50,000. Question #1. (5+5) A) On 1 January 2019 Panther Company acquired 30 percent of Ather Inc. common shares for the cash price of Rs.500.000 (both companies are fictitious). It is determined that Panther has the ability to exert significant influence on Ather's financial and operating decisions. The following information concerning Ather's assets and liabilities on 1 January 2019 is provided: Ather, Inc Current assets Plant and equipment Book Value Rs.100,000 1,900,000 Rs.2,000,000 Rs.300,000 800,000 Rs.1,200,000 Fair Value Rs. 100,000 2,200,000 Rs.2,300,000 Difference 0 300,000 Liabilities Net assets Rs.300,000 800,000 0 Rs.1,500,000 The plant and equipment are depreciated on a straight-line basis and have 10 years of remaining life. Ather reports net income for 2019 of Rs. 100.000 and pays dividends of Rs.50,000. Question #1. (5+5) A) On 1 January 2019 Panther Company acquired 30 percent of Ather Inc. common shares for the cash price of Rs.500.000 (both companies are fictitious). It is determined that Panther has the ability to exert significant influence on Ather's financial and operating decisions. The following information concerning Ather's assets and liabilities on 1 January 2019 is provided: Ather, Inc Current assets Plant and equipment Book Value Rs.100,000 1,900,000 Rs.2,000,000 Rs.300,000 800,000 Rs.1,200,000 Fair Value Rs. 100,000 2,200,000 Rs.2,300,000 Difference 0 300,000 Liabilities Net assets Rs.300,000 800,000 0 Rs.1,500,000 The plant and equipment are depreciated on a straight-line basis and have 10 years of remaining life. Ather reports net income for 2019 of Rs. 100.000 and pays dividends of Rs.50,000