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Sisteron plc purchased 30% of Verdun Ltd for 2.5 million on 1 May 2020. At that date Verdun Ltd had retained earnings of 5.3 million.
Sisteron plc purchased 30% of Verdun Ltd for 2.5 million on 1 May 2020. At that date Verdun Ltd had retained earnings of 5.3 million. At the year end date 31 October 2020 Verdun Ltd had retained earnings of 6.4 million. Verdun Ltd did not pay any dividends in 2020. On 30 September 2020 Sisteron plc sold 700,000 goods to Verdun Ltd, on which it made 30% profit. Verdun Ltd had resold none of these goods by 31 October 2020. At what amount will Sisteron plc show its investment in Verdun Ltd in its consolidated statement of financial position as at 31 October 2020? NB! Write the amounts in thousands, i.e. do not write the last three zeros. Write numbers only, do not write any words, letters, symbols in the blanks. Show negative amounts, i.e. amounts subtracted in brackets - e.g. (100). '000 Consideration transferred 2,500 Share of post-acquisition profit Less: unrealised profits Investment in associate
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