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Q.233 bpp Perkins co

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA FR Exams › Q.233 bpp Perkins co

  • This topic has 1 reply, 2 voices, and was last updated 3 years ago by P2-D2.
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  • May 23, 2022 at 8:02 am #656234
    zeenb
    Participant
    • Topics: 7
    • Replies: 4
    • ☆

    In part b of the question it is written remove results of subsidiary and gain on disposal and prepare a revised statement of p and l.
    In the workings of answer they have added the gain in operating expenses , shouldn’t gain be deducted.

    I am really confused about this part.

    May 30, 2022 at 4:24 pm #656865
    P2-D2
    Keymaster
    • Topics: 4
    • Replies: 7163
    • ☆☆☆☆☆

    The gain that was originally included in the operating expenses should not have been, and hence they are reversing it out. It would have reduced the operating expenses initially but to remove it we will need to add it back to get back to the original expense figures.

    Thanks

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