Hello sir,
Could you please help me to solve some doubts in working of net assets of subsidiary in following questions:
1) In June 2013 (Paradigm) My workings comes like this:
At acquisition At yr end
Sk. 20,000. 20000
Re. (4000) 4000
Net loss(2000) 2000
Fv. (3000). (3000)
Depn. (500)
Equity invest. 700
Total. 11000. 23200
So,the difference should be 11200.But my difference is 12200(23200-11000)
Where I am going wrong????
2) In dec 2013 Polestar
At acquisition At yr end
Sk. 6000. 6000
Re. 9700. 12000
12000-(4600*6/12)
Fv. 2000. 2000
Depn (100)
Purp. (600)
Total 17700. 19300
The difference should be 3000.How do we get fv at acquisition 22300 and if I get 22300 post acquisition is 3000ie.( 22300-19300)
3)In June 2014
Penketh
At acquisition At yr end
Sk 150000. 150000
Re. 120000. 40000
Fv
Land 2000. 2000
Plant. 6000. 6000
Depn. (1500)
Customer 5000. 5000
Depn (500)
Total. 283000. 201000
If I add 40000 under acquisition I will get the fig 323000.But why should I add under acqn.
Pinky
Ask the Tutor ACCA FR
Doubts in previous question papers
A few things Pinky....
I can't follow your post! What's "Sk" - Slovakia?
Why are there two values for some lines but only one value for others?
Why are there two values for some lines?!!!
I don't think that you have given me enough information for me to be able to answer your question, even if I could understand it! Is this a mid-year acquisition problem? If so, on what date was the acquisition and what date is the year end?
And which year is the more recent one - the one on the left or the one on the right? And if there's only one figure on a line, is that a left hand column figure or a right hand column figure?
Please Pinky - give me a sporting chance!
I do believe that I have recorded my answers to most if not all of these questions. Have you tried following the appropriate recordings? You should find them on the F7 pages under the heading "Revision lectures" if my memory serves me right
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