• Skip to primary navigation
  • Skip to main content
  • Skip to primary sidebar
Free ACCA & CIMA online courses from OpenTuition

Free ACCA & CIMA online courses from OpenTuition

Free Notes, Lectures, Tests and Forums for ACCA and CIMA exams

  • ACCA
  • CIMA
  • FIA
  • OBU
  • Books
  • Forums
  • Ask AI
  • Search
  • Register
  • Login
  • ACCA Forums
  • Ask ACCA Tutor
  • CIMA Forums
  • Ask CIMA Tutor
  • FIA
  • OBU
  • Buy/Sell Books
  • All Forums
  • Latest Topics

June 2025 ACCA Exams

How was your exam? Comments & Instant poll >>

20% off ACCA & CIMA Books

OpenTuition recommends the new interactive BPP books for September 2025 exams.
Get your discount code >>

Group retained earning calculation and NCI.

Forums › ACCA Forums › ACCA FR Financial Reporting Forums › Group retained earning calculation and NCI.

  • This topic has 4 replies, 2 voices, and was last updated 7 years ago by noman0409.
Viewing 5 posts - 1 through 5 (of 5 total)
  • Author
    Posts
  • November 13, 2017 at 6:41 am #415480
    noman0409
    Participant
    • Topics: 16
    • Replies: 15
    • ☆

    Why the post acquisition revaluation surplus of $600,000 at year end is not included in calculation of Subtrak’s retained earning? However, NCI calculation include their share of revaluation surplus?
    (Please answer as soon as possible)

    Retained earnings Plastik Subtrak
    $’000 $’000
    Per question 6,300 3,500
    Less pre-acquisition(1,500 + (2,000 × 3/12)) (2,000)
    Goodwill impairment (500)
    Unwinding of discount on deferred consideration (1,800
    (a) × 10% × 9/12) (135)

    Depreciation on FVA (100)
    PURP (600,000 × 25/125) (120)
    Total 6,045 900
    Share of Subtrak (900 × 80%) 720
    6,765

    Non-controlling interest $’000
    NCI at acquisition 4,500
    Share of post-acquisition retained earnings (900 × 20%) 180
    Share of property revaluation gain (600 × 20%) 120
    NCI 4,800

    November 13, 2017 at 10:20 am #415514
    Chris
    Member
    • Topics: 7
    • Replies: 600
    • ☆☆☆☆

    The revaluation reserve and retained earnings are separate items in the equity section of the parent’s balance sheet so you don’t include it in the retained earnings calculation.

    However, for the NCI, it is different. The equity, retained earnings and revaluation reserve are all combined into one figure when displayed on the parent’s balance sheet.

    November 13, 2017 at 10:51 am #415532
    noman0409
    Participant
    • Topics: 16
    • Replies: 15
    • ☆

    Will you please summarize steps for calculation of group R.E and NCI that what should be included and what shouldn’t? When practicing, I always get wrong answer for these because of adjustments like mentioned in above questions.

    November 14, 2017 at 12:16 pm #415714
    Chris
    Member
    • Topics: 7
    • Replies: 600
    • ☆☆☆☆

    It’s too much to summarise in one forum post really. I suggest re-reading the OpenTuition notes, watching the lectures and re-reading your study text if you have one, then practice more questions. This is quite a key area of the syllabus so you need to practice it lots.

    November 16, 2017 at 6:28 am #416050
    noman0409
    Participant
    • Topics: 16
    • Replies: 15
    • ☆

    Thanks

  • Author
    Posts
Viewing 5 posts - 1 through 5 (of 5 total)
  • You must be logged in to reply to this topic.
Log In

Primary Sidebar

Donate
If you have benefited from our materials, please donate

ACCA News:

ACCA My Exam Performance for non-variant

Applied Skills exams is available NOW

ACCA Options:  “Read the Mind of the Marker” articles

Subscribe to ACCA’s Student Accountant Direct

ACCA CBE 2025 Exams

How was your exam, and what was the exam result?

BT CBE exam was.. | MA CBE exam was..
FA CBE exam was.. | LW CBE exam was..

Donate

If you have benefited from OpenTuition please donate.

PQ Magazine

Latest Comments

  • manahylilyas on The financial management environment – ACCA Financial Management (FM)
  • poojam on Objective of financial reporting – ACCA Financial Reporting (FR)
  • mm3677 on IAS 16 Accounting for a revaluation – CIMA F1 Financial Reporting
  • Anastesia123 on MA Chapter 1 Questions Accounting for Management
  • John Moffat on MA Chapter 26 Questions Variance Analysis

Copyright © 2025 · Support · Contact · Advertising · OpenLicense · About · Sitemap · Comments · Log in