Forum Replies Created
- Posts
consolidation is a part of this question but this specific part i have problem with is a basic one and related to fa that is why i have asked it here , plz explain .
so you are saying ,they cant be a investing and financing at same time ? isn’t a simple inflow of cash and then outflow?
actually this is from consolidated cashflow question and in the solution they completly ignore the point , didn’t mention inflow ( 5m loan) in financing and didnt mention outflow in investing and same they did in PPE ..
according to me it should be 5m financing +ive and 5m investing -ive and in ppe addition of purchase ,
what is wrong with this treatment , what am i missing plzz helpfirst of all , really sorry for the question marks …..now that i know the mechanism of your replies i would not post a reminder message…..
and thank you very much for your precious time it means a lot to me.and from your answer to the query , goodwill will only be recognized in the group accounts.
THANK YOU.
Ok i get the sole trader goodwill concept , let say if we just acquire a CO without any goodwill in the past in its books and we as a parent will recognized goodwill in group account based on fair value of its net asset(subsidiary) , my point is can we recognized this goodwill separately in subsidiary books which parent paid for ???
so you are saying if the subsidiary in the past bought some sole trader business and then later on in the future being bought by the parent and they have some goodwill value in the books
,so now we can recognized goodwill in the subsidiary ?
is this the only way to recognized goodwill separately ?
let say we as a parent acquire a co and paid extra 100$ , now can we just recognized this 100$ as a goodwill in the subsidiary books because we as parent purchase it ( not internally generated ) ?apart from shrinkage cost i understood every thing you have explained …..my point is , as in the question it says we need 500 kg of material A for special contract and we have 200 already in stock which is irrelevant but due to shrinkage we lost 20 kgs …now we need 500-180=320 ×6.25=2000 to complete the total for the contract ????
Actually its my examination question with four choices of which one is correct , but non of it matches with mine so i was confirming mine method of approach which it seems to be correct .
so the correct answer is 38000+57000+145236=240236 after deducting bad debt provision per month and the 2% discount …..??
book answers are 23030 233500 242880 246000
when you explain, it seems so simple and i waste hours on it ….got your point sir thank you.
one tiny bit of another question
when we already had the stock and we are not regularly using it, means we will always look up to the opportunity cost and not the replacement cost ?…that makes perfect sense.
it is indeed book error of mine ……thank a lot… have a nice day .got it sir ….just for the sake of differentiation can you give me one example of current asset specifically dealing within ias 36
I think i am calculating depreciation in excess of what it actually is [ {45/15=3 so 6+3=9} then 45-9=36] ….dep at reporting date at
cost is 45m – 6 (acc-depreciation)=39 and fair value less cost to sell is 36.8
SO, now standard is applying which is lower of its carrying amount and recoverable value
so the lower value is 36.8 ……i guess now i am doing right ??i absolutely got it sir ….but what i studied in the standard ias 8 ,if there is change in policy then we have to change values retrospectively for different years say in above case 20×2/20×3 and then compare both values for we have got better or worse ……BUT
In above case all values are restate and accumulate in single year then compare the figures of same year (20×3) ….???
