Question
Question Two: (12 marks) (B1, C1) Bahrain company (the 90%-owned subsidiary); in 10/2/2017 sold land to Manama Company (the subsidiary) at selling price $250,000, the
Question Two: (12 marks) (B1, C1)
Bahrain company (the 90%-owned subsidiary); in 10/2/2017 sold land to Manama Company (the subsidiary) at selling price $250,000, the cost of land $230,000. During 2019, Manama Company sold the land at $290,000. Net income for Manama Company as follows:
|
| 2017 | 2018 | 2019 |
| Net Profit | 180,000 | 200,000 | 230,000 |
Instructions:
- Journalize the above transactions in Parent Company records and in the Subsidiary Company records. (4 marks)
- Calculate the Parent company from the subsidiarys net income? (3 marks)
- Calculate the Minority interest from the subsidiarys net income? (2 marks)
Prepare the working paper in Journal entries format for 2017, 2018 and 2019? (3
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Cima Official Exam Practice Kit Fundamentals Of Management Accounting Cima Certificate In Business Accounting 2006 Syllabus
Authors: Walter Allan
2nd Edition
0750687177, 978-0750687171
