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SECTION This Sections Company QUESTION1 H Ltd acquired 80% of the ordinary share capital SA on October 2014, at a cost of $1 050 000.

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SECTION This Sections Company QUESTION1 H Ltd acquired 80% of the ordinary share capital SA on October 2014, at a cost of $1 050 000. On that date, the cand aming of Santed to $355.000. The fair value of Non Controlling interest NC was $240000 and with a book value of $300 000 had a fair value of S40 000 The Statement of Financial Position of the companies on September 2017 were as follows: SAL Ruad ASSETS Property plant and equipment Investments in subsidiaries and others-cost 1788990 1255 000 961 110 100 000 1 499 400 Current aus 2620 3905 950 16965 2135760 164400 1 633 800 EQUITY AND LIABILITIES Ordinary share capital Retained earning Non current abilities Current liabilities 300 000 2526 200 225 000 1575 500 240 000 94260 2135760 150 000 1307250 90 000 86 550 1633 800 129 750 3.505 950 SA Ltd acquired 70% of the guitare ndon 1 October 2015 cost of $1 oos 000, at this date the retained ning sess000 ane Fair value of NO was $525 000 Pant had a fair value of $60000 above carrying amount Pants being depreciated over the remaining te of 10 years During the year ended 30 September 2017 Holinestory of S105000 to SA Ltda margin of 20 SA Ltd had one fifth of the goods in stock at the reporting date it is group policy to value goodwil at fair valde att At 30 September 2017 goodwill was gred by 324000 REQUIRED: a) Draw up the consolidated Statement of Francal Position as at 30 September 2017 130 mars Advanced Accounting & Financial Reporting August 2008 Page 29 SECTION A (This Section is compulsory) QUESTION 1 H Ltd acquired 80% of the ordinary share capital in SA Ltd on 1 October 2014, at a cost of $1 050 000. On that date, the retained earnings of SA Ltd amounted to $765 000. The fair value of Non-Controlling Interest (NCI) was $240 000. Land with a book value of $300 000 had a fair value of $405 000 The Statement of Financial Position of the companies on 30 September 2017 were as follows: H Ltd SA Ltd R Ltd $ $ ASSETS Property plant and equipment 1 788 990 961 110 1 469 400 Investments in subsidiaries and others at cost 1 455 000 1 005 000 Current assets 261 960 169 650 164 400 3 505 950 2 135 760 1633 800 EQUITY AND LIABILITIES Ordinary share capital Retained earnings Non-current liabilities Current liabilities 300 000 2 626 200 450 000 129 750 3 505 950 225 000 1 576 500 240 000 94 260 2 135 760 150 000 1 307 250 90 000 86 550 1 633 800 SA Ltd acquired 70% of the equity shares in R Ltd on 1 October 2015 at a cost of $1 005 000, at this date the retained earnings were $855 000 and Fair value of NCI was $525 000. Plant had a fair value of $60 000 above its carrying amount. Plant is being depreciated over the remaining life of 10 years. During the year ended 30 September 2017 H Ltd sold inventory of $105 000 to SA Ltd at a margin of 20%. SA Ltd had one fifth of the goods in stock at the reporting date. It is group policy to value goodwill at fair value at acquisition At 30 September 2017 goodwill was impaired by $24 000 in RLtd. REQUIRED (a) Draw up the consolidated Statement of Financial Position as at 30 September 2017. (30 marks) Advanced Accounting & Financial Reporting: August 2018 Page 2 of 9 SECTION This Sections Company QUESTION1 H Ltd acquired 80% of the ordinary share capital SA on October 2014, at a cost of $1 050 000. On that date, the cand aming of Santed to $355.000. The fair value of Non Controlling interest NC was $240000 and with a book value of $300 000 had a fair value of S40 000 The Statement of Financial Position of the companies on September 2017 were as follows: SAL Ruad ASSETS Property plant and equipment Investments in subsidiaries and others-cost 1788990 1255 000 961 110 100 000 1 499 400 Current aus 2620 3905 950 16965 2135760 164400 1 633 800 EQUITY AND LIABILITIES Ordinary share capital Retained earning Non current abilities Current liabilities 300 000 2526 200 225 000 1575 500 240 000 94260 2135760 150 000 1307250 90 000 86 550 1633 800 129 750 3.505 950 SA Ltd acquired 70% of the guitare ndon 1 October 2015 cost of $1 oos 000, at this date the retained ning sess000 ane Fair value of NO was $525 000 Pant had a fair value of $60000 above carrying amount Pants being depreciated over the remaining te of 10 years During the year ended 30 September 2017 Holinestory of S105000 to SA Ltda margin of 20 SA Ltd had one fifth of the goods in stock at the reporting date it is group policy to value goodwil at fair valde att At 30 September 2017 goodwill was gred by 324000 REQUIRED: a) Draw up the consolidated Statement of Francal Position as at 30 September 2017 130 mars Advanced Accounting & Financial Reporting August 2008 Page 29 SECTION A (This Section is compulsory) QUESTION 1 H Ltd acquired 80% of the ordinary share capital in SA Ltd on 1 October 2014, at a cost of $1 050 000. On that date, the retained earnings of SA Ltd amounted to $765 000. The fair value of Non-Controlling Interest (NCI) was $240 000. Land with a book value of $300 000 had a fair value of $405 000 The Statement of Financial Position of the companies on 30 September 2017 were as follows: H Ltd SA Ltd R Ltd $ $ ASSETS Property plant and equipment 1 788 990 961 110 1 469 400 Investments in subsidiaries and others at cost 1 455 000 1 005 000 Current assets 261 960 169 650 164 400 3 505 950 2 135 760 1633 800 EQUITY AND LIABILITIES Ordinary share capital Retained earnings Non-current liabilities Current liabilities 300 000 2 626 200 450 000 129 750 3 505 950 225 000 1 576 500 240 000 94 260 2 135 760 150 000 1 307 250 90 000 86 550 1 633 800 SA Ltd acquired 70% of the equity shares in R Ltd on 1 October 2015 at a cost of $1 005 000, at this date the retained earnings were $855 000 and Fair value of NCI was $525 000. Plant had a fair value of $60 000 above its carrying amount. Plant is being depreciated over the remaining life of 10 years. During the year ended 30 September 2017 H Ltd sold inventory of $105 000 to SA Ltd at a margin of 20%. SA Ltd had one fifth of the goods in stock at the reporting date. It is group policy to value goodwill at fair value at acquisition At 30 September 2017 goodwill was impaired by $24 000 in RLtd. REQUIRED (a) Draw up the consolidated Statement of Financial Position as at 30 September 2017. (30 marks) Advanced Accounting & Financial Reporting: August 2018 Page 2 of 9

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