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Not a tutor, but doing the UK variant this week.
For the majority it will stay the same as international, there will be around 15-20 marks that will be different.
Those marks – based on the specimen exam, and P2 in the past – will be on how to treat something under FRS (UKGAAP) and how it’s treated under IFRS. Examples would be about the difference in deferred tax, intangible assets, assets held for sale. I think they usually show up in section B and will be theory based.
It’s the same for the most part – there will be around 15-20 marks on the differences between UKGAAP and IFRS, but otherwise the same. (I checked as well because i inadvertently signed up for UK one too!)
Hi,
Hopefully this makes sense:
You’re correct saying that proportionate means NCI don’t get any goodwill as it’s only based on the % share of the net assets.
When calculating the carrying value you assume that everything is based on being 100% because in the group accounts you add across 100% of the subs figures. So when the you do the carrying amount you have only added across the 80% that belongs to the parent (as the goodwill you previously calculated is for the parent only). So you need to gross that up to reflect the full amount – which would be the 51*(100/80).
Once that’s completed you have the 100% impairment, but because you would only record the goodwill of 51 – the parents share – you now need to take the impairment figure of 25.8 and amend to be only 80% of the 100% to show Hill’s stake.
Hopefully that made sense and I haven’t repeated what you wrote!
