Question
using the balance sheet to explain the journal entry line by line A Ltd has acquired all the issued shares of B Ltd for $150.
using the balance sheet to explain the journal entry line by line
A Ltd has acquired all the issued shares of B Ltd for $150.
The balance sheets of both companies immediately after acquisition are as follows:
A Ltd B Ltd
Share capital $200 Share capital.$100
Reserves100 Reserves50
300 150
Shares in B Ltd 150 --
Cash 150 Cash 150
300 150
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Accounting Chapters 1-13
Authors: Carl Warren
27th Edition
1337272108, 978-1337272100
