Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Solve this question The followings are the Statement of Financial Position of MSG Bhd. and MYG Bhd. as at 30 April 2019 MSG Bhd MYG

Solve this question

image text in transcribed
The followings are the Statement of Financial Position of MSG Bhd. and MYG Bhd. as at 30 April 2019 MSG Bhd MYG Bhd RM RM Non-Current Assets Land 1,600,000 1,380,000 Plant and machinery 600,000 640,000 2,200,000 2,020,000 Current Assets Inventories 580,000 420,000 Trade receivables 560,000 380,000 Cash and cash equivalent 760,000 580,000 Total Assets 4,100,000 3,400,000 Equity and Reserves Ordinary shares of RM1 each 2,400,000 2,000,000 General reserves 600,000 500,000 Retained profit 800,000 700,000 3,800,000 3,200,000 Current Liabilities Trade payables 300,000 200,000 Total Equities and Liabilities 4,100,000 3,400,000 Additional information: 1 . MSG Bhd. acquired 1,280,000 of the 2,000,000 issued ordinary shares of MYG Bhd. on 1 May 2019 by issuing 1,000,000 ordinary shares in MSG Bhd.and 6% loan note for RM400,000. The balance was paid by the immediate payment of RM100,000 cash. The market value of one equity share of MSG Bhd. on 1 May 2019 was RM1.50. 2. At the date of acquisition, the balances in MYG Bhd.'s accounts were: RM General reserves 300,000 Retained profit 400,000 3. It is the group's policy to value the non-controlling interest at its proportionate share of the fair value of the subsidiary's net assets. 4. It was discovered that the goodwill has been impaired by 15% at the end of the year. Required: Prepare the Consolidated Statement of Financial Position as at 30 April 2020 under MFRS 3 Business Combination and MFRS 101 Presentation of Financial Statements

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Financial Statement Fraud Prevention And Detection

Authors: Zabihollah Rezaee, Richard Riley

2nd Edition

0470543205, 9780470543207

More Books

Students also viewed these Accounting questions