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Consolidated SOFP

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA FR Exams › Consolidated SOFP

  • This topic has 1 reply, 2 voices, and was last updated 7 years ago by MikeLittle.
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  • February 25, 2018 at 1:57 am #438795
    Anonymous
    Inactive
    • Topics: 1
    • Replies: 0
    • ☆

    In december 2013 question , in the SOFP there is a purchase consideration of both immediate cash payment and a deferred consideration. Why is the cash consideration amount of $13,500 deducted in the SOFP from the equity investments?

    February 25, 2018 at 7:25 am #438809
    MikeLittle
    Keymaster
    • Topics: 27
    • Replies: 23359
    • ☆☆☆☆☆

    Is it because amounts paid in respect of the acquisition are not treated for consolidation purposes as investment? They are an integral element of the goodwill calculation

    OK?

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  • The topic ‘Consolidated SOFP’ is closed to new replies.

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