7.4 15% Minority interests in STU are £30,000; if post-acquisition profits were £60,000 and £129,000 was paid by the parent for acquisition goodwill arising on acquisition (in thousands) is nearest
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7.4 15% Minority interests in STU are £30,000; if post-acquisition profits were £60,000 and £129,000 was paid by the parent for acquisition
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- Q16 Mokwena Limited acquired 48% investment in Masibi Limited at R100 000. At the date of acquisition, which is 31 March 2016, Masibi Limited’s statement of financial position showed the following balances: Non-current assets R692 000 Current assets R44 000 Non-current liabilities R268 000 Current liabilities R218 000 Mokwena Limited applies equity accounting for all its investments in associates and joint ventures. The financial year-end for Mokwena Limited is on 31 March of each year. What is Mokwena Limited’s share of the net assets in Masibi Limited? Select one: a. R250 000 b. R353 280 c. R120 000 d. R100 000a. 580,500 b. 918,000 c. 1,012,500 d. 675,000Cacik acquired 80% of the 1 million issued £1 ordinary shares capital of Chaas on 1 April 20X1 for £1,750,000. Chaas' retained earnings were £920,000 at acquisition and £1,100,000 at year end 31 December 20X1 The carrying amount (NBV) of Chaas' net assets at that date was the same as the fair value, with the exception of a building which had a carrying amount of £680,000 and a fair value of £745,000. The Group measures non-controlling interest (NCI) at share of net assets. There was no impairment in the period after acquisition. Calculate the amount of goodwill that would be recognised in the consolidated Statement of financial position at 31 December 20X1. a. None of these options are correct b. £18,000 С. £nil d. - £382,000 e. £559,000 е. £526,000 g. £162,000 h. £214,000 F.
- 2-McKinney Company acquires an 60% interest in its Sandstone for a purchase price of $1.000,000. The excess of the purchase price over the book value of the Sandstone’s Stockholders’ Equity is allocated to a building (in PPE, net) that is worth $212,250 more than its book value, an unrecorded Patent that the parent valued at $125,000, and Goodwill of $348,417, 60% of which is allocated to the parent. The parent and the Sandstone report the following balance sheets on the acquisition date: McKinney Sandstone McKinney Sandstone Cash $1,500,000 $300,000 Current Liabilities $750,000 $300,000 Accounts receivable 1,597,500 240,000 Long-term Liabilities 1,268,222 410,000 Inventory 2,689,550 275,000 Common Stock 235,000 75,000 Equity Investment 1,000,000 APIC 5,472,211 156,000 PPE, net 6,008,510 876,000 Retained Earnings 5,070,127 750,000…9. KUNG AKO NA LANG SANA Company acquired land and building with fair value of P3,500,000 by issuing 30,500 shares with par value of P15 per share and quoted price of P75 per share. What is the initial cost of the land? A. 457,500 B. C. 1,800,000 D. 3,500,000 2,287,500 10. MR. Co. a VAT-registered business, acquired a piece of equipment for P84,000 on account. The purchase is inclusive of 12% VAT. The credit term for this transaction is 1/10, n30, but MR. Co. did not avail of the discount. MR. Co. also incurred P45,250 cost of training the personnel who will be operating the equipment and installation cost of P10,250. After one month, MR. Co. decided to redeploy the equipment to another location. MR. Co. incurred P10,500 in the relocation and reinstallation. The cost of the equipment is D. 94,910 A. 74,160 B. 119,410 C. 84,410acquired 75% of Ben and 30% of Weed when Ben's reserves were £16,000, and those of Weed were £4,000. Fair value of Ben's net assets at the time of acquisition amounted to £35,000. All company accounts are shown below. Balance Sheets at 31-Dec-20 Non-current assets Investment in Ben Investment in Weed Other Net Assets Х 26,000 Ben 9,000 Weed 6,000 30,000 12,000 10,000 37,000 21,000 78,000 46,000 27,000 Issued Share Capital 40,000 16,000 10,000 Retained Earnings 30,000 26,000 14,000 Profit/Loss 8,000 4,000 3,000 78,000 46,000 27,000 Required: For Ye-Dec-20 prepare 1) Group Balance Sheet 2) Group Income Statement 3) Reconcile group and company net assets
- 1.on 1/1/2019 X CO acquired 80% of Y common stock for $150,000 in the same day the y net assets was $ 140,000 , in the same date the fair value of assets and liabilities were equal .year ended 31/12/2019 y reported income $50,000 , declared dividend $30,000 , X using equity methods what is good will balance on 1/1/2019 Select one: a. 10,000 b. 47,500 c. 37,500 d. 50,000 Previous page Next pag W to search hpBl 69% i 4:18 pm SAR Co paid P110,000 for the net assets of Ken Corp. At the time of the acquisition,the attached photo are informatiom available related to Ken Corp's balance sheet. What is the amount of gain or loss on disposal of a business should Ken Corp. recognize? Same problem with the previous SAR Co. * Book Value Fair Value P 50,000 100, 000 50,000 30, 000 Current Assets P50,000 Building Equipment Liabilities 80,000 40,000 30, 000 Gain of 30,000 Gain of 60,000 Loss of 30,000 O Loss of 60,000
- q4Q25 On 1 June 2013, Sun Ltd acquired 75% interest (and control) over Savy Ltd by acquiring 570 000 of the issued ordinary shares of Savy Ltd. The consideration paid was settled in cash amounting to R810 000. On this date the retained earnings of Savy Ltd amounted to R125 000 and 760 000 ordinary shares worth R950 000. The Sun Ltd Group measures non-controlling interests in an acquiree at its proportional share of the aquiree’s identifiable net assets at acquisition date (partial goodwill method). On 31 December 2015, goodwill was tested for impairment and it was determined by the directors of Sun Ltd that the goodwill was impaired with R2 750 at the end of the current financial year. The amount that will be disclosed as goodwill in the consolidated statement of financial position of the Sun Ltd Group as at 31 December 2015, is_______. Select one: a. R1 000 b. RNIL c. R269 750 d. R3 75038
