Consolidated Statement of Financial Position

Hi,

Please can someone help me and tell me how to do this, I have attached the original question, answers and additional info.

Thanks
Sophie

Comments

  • sophie_612
    sophie_612 LondonRegistered Posts: 132
    can anyone help please?
  • sophie_612
    sophie_612 LondonRegistered Posts: 132
    @Clintm15 can you help me please?
  • Duchess1
    Duchess1 MAAT Posts: 81
    sophie, which bit do you need help with?
  • Duchess1
    Duchess1 MAAT Posts: 81
    I think it is as follows;

    Goodwill-

    consideration 420
    net assets acquired share capital 240 + adj to fair value 100 + retained earnings 20 = (360)
    non controlling interest is 20% of 360 = 72
    impairment (25)
    --------------------------
    total 107

    PPE
    1520 + 241 = 1761
    plus adj to fair value 100
    -------
    total 1861

    Retained earnings
    Texas pls 172
    Houston Ltd - attributable to Texas pc (60-20*) * 80% = 32
    (*20 is retained earnings at time of purchase)
    impairment to goodwill (25)
    ---------------
    total 179

    The rest you just add up. Except the following-

    * trade receivables = 126+30-6 intercompany balance = 150
    * share capital only use the share capital of Texas PLC
    * retained earnings as calculated above
    * non controlling interest is (100 adj to fair value + 240 shares + 60 retained earnings) * 20% = 80
    * trade payables 103 + 26 - 6 (intercompany) = 123

    I think that's it!
  • sophie_612
    sophie_612 LondonRegistered Posts: 132
    @Duchess1 thank you so much :)
  • barney77
    barney77 Registered Posts: 7
    I was just looking at this as taking exam on Thursday and was wondering how they got the net assests for goodwill.

    Thank you so much, it now makes sense!
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