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calculating consolidated retained earnings

Forums › ACCA Forums › ACCA FR Financial Reporting Forums › calculating consolidated retained earnings

  • This topic has 1 reply, 2 voices, and was last updated 13 years ago by raj123nair.
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  • June 7, 2012 at 7:06 pm #53189
    yifanyang
    Member
    • Topics: 13
    • Replies: 4
    • ☆

    why do the answers for the past exams use adjusted post acquisition profits to calculate consolidated retained earnings rather than the method that we were shown.

    an example of this is in the dec 2010 exams

    June 8, 2012 at 9:58 am #99669
    raj123nair
    Participant
    • Topics: 2
    • Replies: 76
    • ☆☆

    Hi,

    Pre acquisition profits does not related to group. As such it shouldnt be included within retained earning calculation.

    Hope this helps.

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