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Question A8 The latest summarised statements of financial position of Aye and Bee are shown below. Aye purchased 42,000 shares in Bee two years ago when the retained earnings of Bee stood at 130,000. Aye Bee '000 '000 Non-current assets 310 200 Investment in subsidiary 150 Current assets 220 170 TOTAL ASSETS 680 370 Ordinary shares of 1 each Retained earnings Current liabilities TOTAL EQUITY & LIABILITIES 190 280 210 680 70 160 140 370 On the date of acquisition, the fair values of the net assets of Bee did not differ materially from their carrying amounts. Goodwill is calculated using the proportion of net assets method. There has been an impairment in the value of goodwill since the acquisition totalling 12,000. Determine goodwill and retained earnings that will appear on the consolidated statement of financial position now? Question A8 The latest summarised statements of financial position of Aye and Bee are shown below. Aye purchased 42,000 shares in Bee two years ago when the retained earnings of Bee stood at 130,000. Aye Bee '000 '000 Non-current assets 310 200 Investment in subsidiary 150 Current assets 220 170 TOTAL ASSETS 680 370 Ordinary shares of 1 each Retained earnings Current liabilities TOTAL EQUITY & LIABILITIES 190 280 210 680 70 160 140 370 On the date of acquisition, the fair values of the net assets of Bee did not differ materially from their carrying amounts. Goodwill is calculated using the proportion of net assets method. There has been an impairment in the value of goodwill since the acquisition totalling 12,000. Determine goodwill and retained earnings that will appear on the consolidated statement of financial position now