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Positive / Negative movement in equity

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA SBR Exams › Positive / Negative movement in equity

  • This topic has 4 replies, 3 voices, and was last updated 8 years ago by stephenlyimo.
Viewing 5 posts - 1 through 5 (of 5 total)
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    Posts
  • July 8, 2015 at 2:54 pm #260112
    manjenjenje
    Member
    • Topics: 5
    • Replies: 8
    • ☆

    Can you further elaborate on the acquisition of further interest on the nci without losing control that creates negative movement in equity

    July 8, 2015 at 7:51 pm #260234
    MikeLittle
    Keymaster
    • Topics: 27
    • Replies: 23313
    • ☆☆☆☆☆

    Without thinking too deeply into this, am I not correct in saying that, where we pay the nci an amount greater than the proportionate fair value of the assets acquired, that will result in a decrease in equity? Effectively we shall have made a loss on acquisition (assets acquired say 800,000, amount paid say 1,000,000)

    Does that do it for you?

    July 10, 2015 at 10:36 am #260477
    manjenjenje
    Member
    • Topics: 5
    • Replies: 8
    • ☆

    Thank you so much Mike. Its makes sense now. You are a star

    July 10, 2015 at 5:43 pm #260497
    MikeLittle
    Keymaster
    • Topics: 27
    • Replies: 23313
    • ☆☆☆☆☆

    You’re welcome (and thanks for the praise! )

    🙂

    April 14, 2017 at 5:05 pm #381305
    stephenlyimo
    Member
    • Topics: 0
    • Replies: 2
    • ☆

    for consolidation problems, will be on track if a revise acca 2007 papers?

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