Hi, for part (a) (i), in the statement of financial position (if Gupte VC share are purchased by Flufftort Co and cancelled), under the "assets", please may I know the rationale of excluding the full cash amount of $7.6m from the original SOFP?
Thank you.
Ask the Tutor ACCA AFM
BPP Revision Kit (AFM) Q.31 Flufftort
4y ago#1They are buying back Gupta VC's shares at par, so that will cost them $10m (which takes all of the $7.6m plus the extra cash of $2.4m generated next year).
Oh I see. Thanks a lot :)
4y ago#3You are welcome.
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