ADVANCED FINANCIAL ACCT.(LL) >CUSTOM<
ADVANCED FINANCIAL ACCT.(LL) >CUSTOM<
12th Edition
ISBN: 9781260824292
Author: Christensen
Publisher: MCGRAW-HILL HIGHER EDUCATION
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Chapter 7, Problem 7.12Q
To determine

Non-Controlling Interest

Non-Controlling Interest is also known minority interest. It is that ownership position in which shareholder owns less than 50% of outstanding shares and has no control over decision.

: Whether the income assign to non-controlling interest is more if sale occurs during Jan 1 to Dec 31.

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A non-current asset with a carrying amount of $2400 was sold by the parent to its subsidiary for $1000 on 1 January 2019. The subsidiary intended to use this item as inventory, being a seller of second-hand goods. Both entities charged depreciation at the rate of 25% p.a. on the diminishing balance on non-current assets. The item was still on hand at 30 June 2019. Assume an income tax rate of 30%. Prepare the consolidation worksheet adjusting entries for preparation of the consolidated financial statements as at 30 June 2019 Answer: Loss on sale Dr $ 1400 Your last answer was interpreted as follows: 1400 Inventory ÷ Cr Your last answer was interpreted as follows: 1400 Accumulated depreciation ÷ Dr $ 1400 ÷ $ 350 Your last answer was interpreted as follows: 350 Depreciation Expense ÷ Cr ÷ $ 350 Your last answer was interpreted as follows: 350
An entity classified a noncurrent asset accounted for under the costmodel as held for sale at the current year-end. The entity decided at theend of the following year not to sell the asset but to continue to use it. Theasset should be measured at the end of the following year at A. The lower of carrying amount and recoverable amountB. The higher of carrying amount and recoverable amountC. The lower of carrying amount on the basis that it had never been classified as held forsale and recoverable amountD. The recoverable amount
Positivity Enterprises accounted for noncurrent assets using the revaluation model. On September 1, 2021, the entity classified as land held for sale. At that date, the carrying amount of the land was P4,000,000 and the balance in the revaluation surplus was P600,000. At the same date, the fair value of the land was estimated at P 4,100,000 and the cost of disposal at P100,000. On December 31, 2021, the fair value less cost of disposal of the land did not change. The land was sold on December 31, 2021 for P4,200,000. What is the amount of revaluation surplus on December 31, 2021?

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ADVANCED FINANCIAL ACCT.(LL) >CUSTOM<

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