Forum Replies Created
- July 25, 2018 at 9:27 pm
Sir this question is taken from Kaplan kit newest editionJuly 6, 2018 at 8:18 pm
I will try this technique from now on. thank youJune 6, 2018 at 7:03 pm
Thank you sir for this knowledge I did not know that ACCA changed F5 to name MA.
Thank you sir for your guidance as well…one last question that I want to ask again is if 2 months are enough for preparation of MA (F5) ?June 6, 2018 at 4:25 pm
Your guidance will be much appreciated ,
Thanks in AdvanceMay 29, 2018 at 2:26 pm
and also how you have helped me with queries that i came across. thank you for that and to open tution too 🙂May 29, 2018 at 2:06 pm
Sir I have passed F3 with 70 percent marks. All credits to your lecture THANK YOUMay 28, 2018 at 9:25 am
Also Sir I want to ask you ”NCI will always feature within the consolidated financial statements” why is this statement not correct…. as far as i know when we make consolidated SOFP …the value of NCI calculated is mention on the face of statement in Equity section…May 28, 2018 at 9:05 am
Sir kindly Explain why did we subtract bank overdraft to calculate b/f?May 26, 2018 at 11:56 am
Thank you Sir Moffat. Infinite respect for you 🙂May 25, 2018 at 11:14 pm
ohh…thank you so much dint know about itMay 25, 2018 at 12:50 pm
Sorry and Thank you In advance for asking too many questions and for your invaluable help as a tutor.May 25, 2018 at 12:48 pm
On 1 July 20X4 Lion paid $20 million to acquire seventy per cent of the issued equity capital of Tiger. For the year ended 31 December 20X4, Tiger had earned profit after tax of $2 million. Tiger had retained earnings of $10 million at 1 January 20X4. At the date of acquisition, Tiger had issued equity capital of $8 million and the fair value of the non-controlling interest at that date was $6 million.
Based upon the available information, what was goodwill on acquisition of Tiger for inclusion in the Lion consolidated financial statements for the year ended 31 December 20X4?
Consideration paid 20M
FV of NCI at acquisition 6M
FV of net assets acquired:
Equity share capital 8M
Retained earnings to I Jan X4 10M
Retained earnings to acquisition (6/12 × 2,000,000) 1M
Goodwill on acquisition 7,000
Sir I Understood all the question except for one part… we calculate goodwill by …Consideration paid + f.V of NCI – Net assests of S at Aquisition date (i.e share capital + R.E At date of acquisition)
BUT however in this question retained earning at acquisition and reporting date is deducted when only at acquisition date should have been deducted.. why so?? kindly sirMay 25, 2018 at 9:32 am
Also Sir I want to ask
If P sells goods to S we will deduct PURP from Group retained earning and Inventory on consolidated SOFP…right sir?
and if S sells goods to P… we will deduct PURP from NCI and also from inventory in consolidated SOFP…as per your lectures
but sir in the text book that i am using , when S sells goods to ‘P’ PURP is deducted from Net Assets of Subsidiary at reporting date and inventory…
Kindly Sir explain this i am having problem in from where to deduct PURP in both casesMay 25, 2018 at 9:26 am
This question was in one of the Acca approved exam kit and I dint understand the question thank you for your help. Sir kindly can you explain to me what ‘fair value of an equity share in entity C was $3.50 ‘ means?