The following financial statements were extracted from the company's records You have been recently promoted to be the group accountant for Horus Berhad and the following information were found in the minutes of meeting . Horus Berhad acquired 70% of the ordinary shares of Sunbeam on 1 January 2018 with consideration transferred of RM21 million. On the same date, Horus also acquired 40% of the preference shares issued by Sunbeam by cash consideration of RM200,000. 4620 Upon checking the previous year's statements, the retained earnings of Sunbeam as at 1 January 2018 was RM634,000. There are no issuance of new shares since acquisition date. Statements of Comprehensive Income for year ended 31 December 2019 Horus Sunbeam Soleil Athena RM 000 RM 000 RM600 RM 008 Turner 15.00 ra 7330800 Cost of sales 7880 (4,020 13.316 (3.5204 Grossmaron 8020 5,250 2.760 ) Administration expenses (3.564 (1.781 (1.153 730 Selling expenses (1905 954 (785 (241 - Gain from sale of plant 50 Profit before in 2.460 2.557 2.082 1.783 Taon 16202 (5807 1475 (340 Profiter tas 104 1.907 1601 REA 6.825 1,732 42 18493 Dividends declared in December 2010 Ordinary shares S Preference shares 24 3 % Preference shoes Full you Preference shares 7% Debentures Fuyor Fully 1443 Sunbeam's partial goodwill has been impaired by RM462,000 for the year 2019 There was no impairment recorded in the previous year. On 1 January 2019, Horus acquired 80% of the ordinary shares of Soleil Sdn Bhd with the following consideration: 1 Cash payment on January 2019 RM2 million Horus ordinary shares valued at RM5 million Additional cash payment payable on 1 January 2020 RM3.3 million Cost of capital is given as 10% per annum Horus also acquired 50% of the preference shares issued by Soleil on 1 January 2019 Statements of Financial Position as at 31 December 2019: Horus Sunbeam Soleil Athena RM 600 RM1000 RM1000 RM 000 investment Ordinary shares of Sunbeam 21.000 Preference shares of Sunbeam 200 Roncurrents Land 25910 11 201 8463 3892 Building 15.400 9.000 3224 2.114 plan 2700 1863 800 Machinery 3.100 2.130 98 872 Equipment 1,950 1260 841 654 Current assets 10% Loan to Soled 250 Inventory 3.010 2.356 1335 253 Current account 780 Trade receive 3.650 2.669 1.154 871 Bank 4.210 688 711 100 Total assets 81,916 16.575 10.217 On 1 April 2019, Horus acquired 20% of Athena Sdn Bhd Ordinary shares with cash payment of RM1.5 million There are no issuance of new shares for all the companies since 1 January 2018 31.444 20.000 10.00 1000 58.850 3,000 500 3.000 From the available records of the companies, you extracted the following fair value adjustments which have not been adjusted in the books. The group uses revaluation model to prepare its accounts: As 1 January 2016 lors Sunbeam Sale RM Athena RM Plan 0.000 300 1.800 2001 5.000 8608 800 Ordinary shares 5% Preference shares 8 Preference share 3% Preference shares Revaluation reserve Pedeaming 7% Debestures SON Loan from Steam Current account rade pays Other payables Total equities and liabilities 800 504 200 100.000 42381 138 250 9931 1890 105 STE 2.806 664 897 126 UM Land AS 19 . 10.000 7600 81,910 31,44416.STS 10.217 400.000 For year ended 2018, Sunbeam sold equipment to Horus with the profit of RM50.000. Useful life of this asset is estimated to be 5 years, Full year depreciation is charged in the year of acquisition and none in the year of disposal During the year, Soleil sold inventories with the invoice value of RM800,000 to Horus at cost plus 25% 20% of the ending inventory in Horus were inventories purchased from Soleil Soleil also sold inventories to Sunbeam at the invoice price of RM4,712,000 at cost plus 25% 80% of these inventories have been sold off to third parties. Sunbeam has paid for 50% of the invoice balance but the payment was only received after 31 December 2019 s. For year ended 2019. Athena sold inventories to Horus at cost plus 25%, the invoice value was RM100.000 and 50% of these inventories have been sold off Required: Determine the goodwill for all the investments, Prepare the Group Statement of Financial Position as at 31 December 2019. Prepare the Group Statement of Comprehensive Income for year ended 31 December 2019 on Prepare the Group Statement Changes in Equity for year ended 31 December 2019 Soleil has not accrued its loan interest expense for the full year and Sunbeam has not recognised the interest income in its books. Note: Show ALL relevant workings 7. The group uses straight line depreciation and partial goodwill to prepare its accounts Difference in current account is due to inventory in transit All depreciation expenses and goodwill impairment are to be adjusted in administration expenses. The following financial statements were extracted from the company's records You have been recently promoted to be the group accountant for Horus Berhad and the following information were found in the minutes of meeting . Horus Berhad acquired 70% of the ordinary shares of Sunbeam on 1 January 2018 with consideration transferred of RM21 million. On the same date, Horus also acquired 40% of the preference shares issued by Sunbeam by cash consideration of RM200,000. 4620 Upon checking the previous year's statements, the retained earnings of Sunbeam as at 1 January 2018 was RM634,000. There are no issuance of new shares since acquisition date. Statements of Comprehensive Income for year ended 31 December 2019 Horus Sunbeam Soleil Athena RM 000 RM 000 RM600 RM 008 Turner 15.00 ra 7330800 Cost of sales 7880 (4,020 13.316 (3.5204 Grossmaron 8020 5,250 2.760 ) Administration expenses (3.564 (1.781 (1.153 730 Selling expenses (1905 954 (785 (241 - Gain from sale of plant 50 Profit before in 2.460 2.557 2.082 1.783 Taon 16202 (5807 1475 (340 Profiter tas 104 1.907 1601 REA 6.825 1,732 42 18493 Dividends declared in December 2010 Ordinary shares S Preference shares 24 3 % Preference shoes Full you Preference shares 7% Debentures Fuyor Fully 1443 Sunbeam's partial goodwill has been impaired by RM462,000 for the year 2019 There was no impairment recorded in the previous year. On 1 January 2019, Horus acquired 80% of the ordinary shares of Soleil Sdn Bhd with the following consideration: 1 Cash payment on January 2019 RM2 million Horus ordinary shares valued at RM5 million Additional cash payment payable on 1 January 2020 RM3.3 million Cost of capital is given as 10% per annum Horus also acquired 50% of the preference shares issued by Soleil on 1 January 2019 Statements of Financial Position as at 31 December 2019: Horus Sunbeam Soleil Athena RM 600 RM1000 RM1000 RM 000 investment Ordinary shares of Sunbeam 21.000 Preference shares of Sunbeam 200 Roncurrents Land 25910 11 201 8463 3892 Building 15.400 9.000 3224 2.114 plan 2700 1863 800 Machinery 3.100 2.130 98 872 Equipment 1,950 1260 841 654 Current assets 10% Loan to Soled 250 Inventory 3.010 2.356 1335 253 Current account 780 Trade receive 3.650 2.669 1.154 871 Bank 4.210 688 711 100 Total assets 81,916 16.575 10.217 On 1 April 2019, Horus acquired 20% of Athena Sdn Bhd Ordinary shares with cash payment of RM1.5 million There are no issuance of new shares for all the companies since 1 January 2018 31.444 20.000 10.00 1000 58.850 3,000 500 3.000 From the available records of the companies, you extracted the following fair value adjustments which have not been adjusted in the books. The group uses revaluation model to prepare its accounts: As 1 January 2016 lors Sunbeam Sale RM Athena RM Plan 0.000 300 1.800 2001 5.000 8608 800 Ordinary shares 5% Preference shares 8 Preference share 3% Preference shares Revaluation reserve Pedeaming 7% Debestures SON Loan from Steam Current account rade pays Other payables Total equities and liabilities 800 504 200 100.000 42381 138 250 9931 1890 105 STE 2.806 664 897 126 UM Land AS 19 . 10.000 7600 81,910 31,44416.STS 10.217 400.000 For year ended 2018, Sunbeam sold equipment to Horus with the profit of RM50.000. Useful life of this asset is estimated to be 5 years, Full year depreciation is charged in the year of acquisition and none in the year of disposal During the year, Soleil sold inventories with the invoice value of RM800,000 to Horus at cost plus 25% 20% of the ending inventory in Horus were inventories purchased from Soleil Soleil also sold inventories to Sunbeam at the invoice price of RM4,712,000 at cost plus 25% 80% of these inventories have been sold off to third parties. Sunbeam has paid for 50% of the invoice balance but the payment was only received after 31 December 2019 s. For year ended 2019. Athena sold inventories to Horus at cost plus 25%, the invoice value was RM100.000 and 50% of these inventories have been sold off Required: Determine the goodwill for all the investments, Prepare the Group Statement of Financial Position as at 31 December 2019. Prepare the Group Statement of Comprehensive Income for year ended 31 December 2019 on Prepare the Group Statement Changes in Equity for year ended 31 December 2019 Soleil has not accrued its loan interest expense for the full year and Sunbeam has not recognised the interest income in its books. Note: Show ALL relevant workings 7. The group uses straight line depreciation and partial goodwill to prepare its accounts Difference in current account is due to inventory in transit All depreciation expenses and goodwill impairment are to be adjusted in administration expenses