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MOCK EXAMS 1 BPP PG 305

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA SBR Exams › MOCK EXAMS 1 BPP PG 305

  • This topic has 1 reply, 2 voices, and was last updated 3 years ago by Stephen Widberg.
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  • September 14, 2022 at 7:20 am #666326
    Shi2004
    Participant
    • Topics: 79
    • Replies: 33
    • ☆☆

    Hello sir im having trouble in solving this adjustment for land.
    Note 3 : Building with a carrying amount of $200million has been included in the Fv of Margy identifiable net asset at 1DEC 20X3. NA at 1Dec 20×3 was 2250$. The building have a remaining useful life of 20years at 1Dec 20X3 and are depreciated on straight line basis. However joey had commissioned an independent valuation of the building of Margy which was not complete at 1dec 20X3 and therefore not consider in the fv of net asset at acquisition date. The valuation were received on 1april 20X4 and result in a decrease of $40m in the fv of ppe at acquisition. The decrease does not affect the Fv of NCI at acquisition and has not been entered into financial statements of Margy. The excess of the fair value of the net asset over their carrying amount at 1Dec 20X3 is due to an increase in value of non depreciable land and contingent liability.
    The working for land is as follow
    Land = 2250 – (1020+900+70)+6=266
    Where does the 900,70 and 6 comes from??? Can you explain please

    September 14, 2022 at 3:18 pm #666385
    Stephen Widberg
    Keymaster
    • Topics: 16
    • Replies: 3436
    • ☆☆☆☆☆

    Please re-post with header reflecting the subject matter – – e.g. fair values in consolidation

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  • The topic ‘MOCK EXAMS 1 BPP PG 305’ is closed to new replies.

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