• Skip to primary navigation
  • Skip to main content
  • Skip to primary sidebar
Free ACCA & CIMA online courses from OpenTuition

Free ACCA & CIMA online courses from OpenTuition

Free Notes, Lectures, Tests and Forums for ACCA and CIMA exams

  • ACCA
  • CIMA
  • FIA
  • OBU
  • Books
  • Forums
  • Ask AI
  • Search
  • Register
  • Login
  • ACCA Forums
  • Ask ACCA Tutor
  • CIMA Forums
  • Ask CIMA Tutor
  • FIA
  • OBU
  • Buy/Sell Books
  • All Forums
  • Latest Topics

20% off ACCA & CIMA Books

OpenTuition recommends the new interactive BPP books for September 2025 exams.
Get your discount code >>

ABCDEFGH8

Profile picture of ABCDEFGH8
Not recently active
  • Topics: 0
  • Replies: 1
  • ☆
  • Profile
  • Forums
  • Topics Started
  • Replies Created
  • Engagements

Forum Replies Created

Viewing 1 post (of 1 total)
  • Author
    Posts
  • November 29, 2022 at 3:20 pm #672860
    mysteryABCDEFGH8
    Member
    • Topics: 0
    • Replies: 1
    • ☆

    The statement of financial position of A plc and B ltd as at 31 December 20X7 are as follows.

    A plc B ltd
    £ £

    Assets
    Non-current assets
    Property, plant and equipment 145,000 50,000
    Investments 53,000 ‘
    198,000 50,000
    Current assets
    Inventories 40,000 30,000
    Trade receivables 45,000 20,100
    Cash at bank 17,000 9,900
    102,000 60,000

    Total assets 300,000 110,000

    Equity and liabilities
    Equity
    Ordinary shares (£1 each) 100,000 40,000
    Retained earnings 90,000 32,000
    190,000 72,000

    Non-current liabilities
    5% Long-term loans 70,000 20,000

    Current liabilities
    Trade payables 40,000 18,000

    Total equity and liabilities 300,000 110,000
    Additional information:

    1. The investment by A plc in B ltd was as follows.

    £
    30,000 ordinary shares of £1 each 44,000
    5% Long-term loans 9,000
    53,000

    The ordinary shares were acquired when the retained earnings of B ltd were £12,000. Since acquisition, there has been no impairment of goodwill.

    2. A remittance of £1,500 sent by A plc to B ltd on 30 December 20X7 was not recorded in the books of B ltd until 4 January 20X8.

    3. Goods had been sold at normal selling price by B ltd to A plc during the year. The total sales of such goods during the year were £80,000. The inventory of A plc at 31 December 20X7 contained goods purchased from B ltd at a selling price of £16,000. B ltd earns 20% profit margin on its sales to A plc.

    4. At the year-end there was no liability outstanding in respect of loan interest payable.

    5. The trade receivables of B Ltd includes £2,500 owed by A plc and the trade payables of A plc includes £1,000 owed to B ltd.

    6. It is the group’s policy to value non-controlling interest at acquisition at its fair value. The non-controlling interest was valued at £14,667 on 31 December 20X7.

    Required:
    Prepare a consolidated statement of financial position for A plc at 31 December 20X7.

  • Author
    Posts
Viewing 1 post (of 1 total)

Primary Sidebar

Donate
If you have benefited from our materials, please donate

ACCA News:

ACCA My Exam Performance for non-variant

Applied Skills exams is available NOW

ACCA Options:  “Read the Mind of the Marker” articles

Subscribe to ACCA’s Student Accountant Direct

ACCA CBE 2025 Exams

How was your exam, and what was the exam result?

BT CBE exam was.. | MA CBE exam was..
FA CBE exam was.. | LW CBE exam was..

Donate

If you have benefited from OpenTuition please donate.

PQ Magazine

Latest Comments

  • kennedyavege@2023 on Relevant Cash Flows for DCF Relevant Costs (example 1) – ACCA Financial Management (FM)
  • mrjonbain on ACCA BT Chapter 6 – Some legal obligations – Questions
  • Ken Garrett on ACCA BT Chapter 6 – Some legal obligations – Questions
  • Ken Garrett on The nature and structure of organisations – ACCA Paper BT
  • OmarAlbeity on ACCA BT Chapter 6 – Some legal obligations – Questions

Copyright © 2025 · Support · Contact · Advertising · OpenLicense · About · Sitemap · Comments · Log in