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Good day tutor,
Is it okay to decide who pays who after I have calculated the net receipt/payment for each subsidiary?
For example in June 2013 Kenduri Co, the final outcome was that “each of Kenduri Co, Jaia Co and Gochiso Co will make payments of £ equivalent to the amount given above to Lakama Co.”
Can I instead, say that “Kenduri Co will receive payments of 0.51m and 0.37m from Gochiso Co and Jaia Co respectively, and then make a 0.91m payment to Lakama Co”?
I know that the final net result would be the same, and you would probably still get all the marks but the whole point of the netting is so that each company ends up with just one net receipt or payment.
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