Question 3 The following are financial statements for Hanida Berhad and its foreign subsidiary Zala Pvt Ltd in Z country for year ended 31 December 2021: Statements of Profit & Loss for year ended 31 December 2021 Hanida (RM'000) Zala (Z'000) Sales 11,000 2,000 -) Cost of sales Opening inventory 100 1,000 6,000 +) Purchases 800 -) Closing inventory (1,000) (6,000) (100) (800) Gross profit 5,000 1,200 -) Expenses (1,200) (500) -) Depreciation (800) (300) Net profit 3,000 400 Statements of Financial Position as at 31 December 2021 Hanida (RM'000) Zala (Z'000) Investment in Zala 1,200 Property, plant & equipment 4,800 3,000 Inventory 1,000 100 Trade receivables 1,800 500 Bank 600 200 9,400 3,800 Ordinary shares. 2,000 Retained profit b/f 3,400 1,000 Retained profit for the year 3,000 400 Non-current loan - 200 Trade payables 400 200 Rates of exchange Zala RM 1 January X7 3 1 Average rate for the year 2.5 1 31 December X7 2 1 Date closing inventory purchased 2.25 1 Date opening inventory purchased 31 1 January X4 - date PPE acquired 4 1 Required: (a) Calculate goodwill on consolidation. Determine NCI on acquisition date. (b) Translate Statement of Financial Position of Zala Pvt Ltd (c) Translate Statement of Profit & Loss of Zala Pvt Ltd (d) Determine the exchange difference in statement of financial position and statement of profit and loss (e) Prepare consolidated statement of profit and loss for year ended 31 December 2021 (f) Prepare consolidated statement of financial position as at 31 December 2021 Question 3 The following are financial statements for Hanida Berhad and its foreign subsidiary Zala Pvt Ltd in Z country for year ended 31 December 2021: Statements of Profit & Loss for year ended 31 December 2021 Hanida (RM'000) Zala (Z'000) Sales 11,000 2,000 -) Cost of sales Opening inventory 100 1,000 6,000 +) Purchases 800 -) Closing inventory (1,000) (6,000) (100) (800) Gross profit 5,000 1,200 -) Expenses (1,200) (500) -) Depreciation (800) (300) Net profit 3,000 400 Statements of Financial Position as at 31 December 2021 Hanida (RM'000) Zala (Z'000) Investment in Zala 1,200 Property, plant & equipment 4,800 3,000 Inventory 1,000 100 Trade receivables 1,800 500 Bank 600 200 9,400 3,800 Ordinary shares. 2,000 Retained profit b/f 3,400 1,000 Retained profit for the year 3,000 400 Non-current loan - 200 Trade payables 400 200 Rates of exchange Zala RM 1 January X7 3 1 Average rate for the year 2.5 1 31 December X7 2 1 Date closing inventory purchased 2.25 1 Date opening inventory purchased 31 1 January X4 - date PPE acquired 4 1 Required: (a) Calculate goodwill on consolidation. Determine NCI on acquisition date. (b) Translate Statement of Financial Position of Zala Pvt Ltd (c) Translate Statement of Profit & Loss of Zala Pvt Ltd (d) Determine the exchange difference in statement of financial position and statement of profit and loss (e) Prepare consolidated statement of profit and loss for year ended 31 December 2021 (f) Prepare consolidated statement of financial position as at 31 December 2021