Hoddle Limited P&L

anthony_12canthony_12c Feels At HomePosts: 40Registered
Anybody able to help with hoddle ltd's consolidated P&L account i know the total is £47138 but not totally sure what to do with adjustments.

Comments

  • sdvsdv Experienced Mentor Posts: 585Registered
    when you are required to produce a consolidated profit and loss account; you are requied to make adjustments for intercompany transfers and unrealised profits on unsold stock.

    you will cover this in more detail next year

    The adjustment for Hoddle ltd is reduce the sales by £20,167; reduce purchases by £18,271 and reduce the closing stock by £1,896 (unrealised profit)

    therefore

    Debit sales £20,167
    Credit Pchse £18,271
    Credit Stock £ 1,896

    £47, 138 is the consolidated Net profit for the Group
  • anthony_12canthony_12c Feels At Home Posts: 40Registered
    thanks for the help, the unadjusted figures for hoddle ltd...do you take them from the VAT return figures or from the sales & purchases day book summary?
  • sdvsdv Experienced Mentor Posts: 585Registered
    No you do not adjust Hoddle's Ltd VAT returns nor do you make any posting to the day books. Every company accounts for vat separately and in thir own company's names.

    Under the IAS accounting standards a parent company has to produce and present group accounts and thefore it has to present consolidated (treat subsiduary company as it's own assets/liabilities) profit and loss account as well as balance sheet.
  • anthony_12canthony_12c Feels At Home Posts: 40Registered
    Hi i am still gettin totally lost, and i have entered the figures for kelly into their row then not sure bout hoddles figures as i am still not gettin a net profit of 47138.

    I have total expenses of 186501?

    Consolidated totals as:
    Sales 396207
    Openin stock 42979
    Purchases 205274
    Closing stock 199098

    Where am i going wrong?
  • sdvsdv Experienced Mentor Posts: 585Registered
    let me have your e-mail and I will e-mail you the answers

    it will make more sense
  • sdvsdv Experienced Mentor Posts: 585Registered
    sales £396 208
    o/stock 42979
    purchases 168732 (136095+50908-18271)
    C/STOCK 49155 (31207+16052-1896)

    gross profit 233652
    expenses 186514 (don't forget to add alpha stationery invoice of 12.63)

    net profit 47138
  • sdvsdv Experienced Mentor Posts: 585Registered
    answers e-mailed
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