Exercise 13If Total capital of subsidiary is CU 300,000 and out of this CU 240,000 isowned by Holding. What is the amount of minority interest if outsideshareholder % is 20%.

Minority interest is that portion of the equity that is not owned by the parent or holding company.…

Answered: Exercise 13 If Total capital of…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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24. Based on Item 21, what is the amount of contributed capital that ABC Corporation should report in its May 1, 2020 statement of shareholder’s equity? a. 640,000 b. 600,000 c. 260,000 d. 900,000 25. Based on Item 21, what is the amount of legal capital that ABC Corporation should report in its May 1, 2020 statement of shareholder’s equity?
QUESTION 11 In respect to the investment in 60% of the share capital in DAC Enviro Ltd (DAC): JJ Victory purchased 1.2 million (of DAC's 2.0 million issued share capital.) on 1 April 2021 In addition to the £45.0 million cash paid on the acquisition date, JJ Victory issued a one for eight share exchange. The market value of Victory shares on 1 April 2021 was £72.21 per share. The market value of JJ Victory shares on 30 September 2021 was £76.12. You confirm future payments of £20 million are payable in 2 years after acquisition (1 April 2023). JJ Victory applies discount rate of 7% on future payments and pro-rates finance costs charged in the period. Question: The total of the balance included in liabilities recognised in the statement of financial position at 30 September 2021 in respect to the investment in DAC Enviro Ltd is: O a. £17.47 million b. £106.65 million O c. £18.08 million O d. £18.69 million O e. £20.00 million
Why it is called that if a company acquires more than 50% of the voting stock of another company, it’s said to have control?
The Daddy Group has the following group structure:Daddy Ltd80% 80% 27%Son 1 Ltd Son 2 Ltd Son 3 Ltd70% 55%30 %Son 4 Ltd Son 5 Ltd10% 5% 45% 95%Son 6 Ltd Son 7 Ltd(a) Reproduce and complete the following controlling and non-controlling interest table. Show your calculations.(b) What percentage of the voting in Son 7 Ltd will be controlled by the Daddy Ltd? (c) What percentage of the dividend declared by Son 7 Ltd will be received by the Daddy Ltd? Daddy Interest
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The Daddy Group has the following group structure:Daddy Ltd80% 80%27%Son 1 Ltd Son 2 Ltd Son 3 Ltd70% 55%30 %Son 4 Ltd Son 5 Ltd10% 5% 45% 95%Son 6 Ltd Son 7 Ltd(a) Reproduce and complete the following controlling and non-controlling interest table. Show your calculations.(b) What percentage of the voting in Son 7 Ltd will be controlled by the Daddy Ltd?(c) What percentage of the dividend declared by Son 7 Ltd will be received by the Daddy Ltd?Daddy Interest Son 1 Son 4 Son 2 Son 5 Son 7 Son 6 Son 3Direct %Indirect %Non-controllingInterestDirect %Indirect %Tota
02) On 30 June 2010 Parent owns 80% of the share capital of Subsidiary. The non-controlling interest had a fair value of $1,300,000. Extract from the statements of financial position of Subsidiary at 30 June 2014 are shown below: Statement of financial position: Ordinary share Share premium Retained earnings Select one: O a. $1,220,000 O b. $1,300,000 O c. $1,480,000 O d. $1,400,000 30 June 2010 $ 1,000,000 400,000 4,700,000 Select one: O a. $225,000 O b. $228,800 O c. $223,400 O d. $255,300 What figure for non-controlling appear in the consolidated statement of financial position as at 30 June 20X6 11) On January 1, 2012 Peter Inc. acquired 80% of the outstanding common stock of Sam Co. for $540,000. Sam's net assets had a book value $600,000 on that date although equipment with a ten-year life having a book value of $10,000 had a fair market value of $30,000. Any remaining allocation is to go to goodwill. On December 31, 2012, Sam reports revenues of $125,000 and expenses of $50,000…
Computing the noncontrolling interests equity balance Assume the following facts relating to an 90% owned subsidiary company: BOY stockholders’ equity $900,000 BOY AAP assets 117,000 Net income of subsidiary (not including [A] asset depreciation and amortization) 216,000 AAP assets depreciation and amortization expense 36,000 Dividends declared and paid by subsidiary 18,000 b. Compute the amount reported as noncontrolling equity at the end of the year. $Answer
The Daddy Group has the following group structure:Daddy Ltd80% 80%27%Son 1 Ltd Son 2 Ltd Son 3 Ltd70% 55%30 %Son 4 Ltd Son 5 Ltd10% 5% 45% 95%Son 6 Ltd Son 7 Ltd(a) Reproduce and complete the following controlling and non-controlling interest table. Show your calculations. (b) What percentage of voting in Son 7 Ltd will be controlled by Daddy Lt(c) What percentage of the dividend declared by Son 7 Ltd will be received by Daddy Ltd?
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Exercise 13 If Total capital of subsidiary is CU 300,000 and out of this CU 240,000 is owned by Holding. What is the amount of minority interest if outside shareholder % is 20%.