1. The partners of AhBa Partnership wish to convert the partnership into a limited liability company....
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1. The partners of AhBa Partnership wish to convert the partnership into a limited liability company. On 1 January 202X, AhBa Sdn. Bhd. was incorporated with authorised capital of 600,000 ordinary shares of RM1 each to purchase all the assets (except cash), and liabilities of AhBa Partnership on 1 January 202X. AhBa Sdn. Bhd. was to discharge the purchase price by issuing 400,000 ordinary shares. The following is the Statement of Financial Position of AhBa Partnership as at 1 January 202X: Land and Building Plant and Machinery Inventories Trade Receivables Bank Capital: Ahmad Baba Trade Payables RM Land and Building Plant and Machinery Inventories Trade Receivables 200,000 150,000 The following are the fair values of the assets taken over: RM 200,000 100,000 30,000 40,000 4,000 374,000 350,000 24,000 374,000 RM 220,000 110,000 25,000 30,000 The partners share profits and losses equally. Ahmad agreed to accept any cash remaining as part settlement of the amount due to him on liquidation of the firm. You are required to calculate the goodwill. (Total / Jumlah: 20 ) 1. The partners of AhBa Partnership wish to convert the partnership into a limited liability company. On 1 January 202X, AhBa Sdn. Bhd. was incorporated with authorised capital of 600,000 ordinary shares of RM1 each to purchase all the assets (except cash), and liabilities of AhBa Partnership on 1 January 202X. AhBa Sdn. Bhd. was to discharge the purchase price by issuing 400,000 ordinary shares. The following is the Statement of Financial Position of AhBa Partnership as at 1 January 202X: Land and Building Plant and Machinery Inventories Trade Receivables Bank Capital: Ahmad Baba Trade Payables RM Land and Building Plant and Machinery Inventories Trade Receivables 200,000 150,000 The following are the fair values of the assets taken over: RM 200,000 100,000 30,000 40,000 4,000 374,000 350,000 24,000 374,000 RM 220,000 110,000 25,000 30,000 The partners share profits and losses equally. Ahmad agreed to accept any cash remaining as part settlement of the amount due to him on liquidation of the firm. You are required to calculate the goodwill. (Total / Jumlah: 20 )
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To Calculate the Total Net Assets Acquired Land and Building Fair Value RM220000 No change in liabil... View the full answer
Related Book For
Income Tax Fundamentals 2013
ISBN: 9781285586618
31st Edition
Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill
Posted Date:
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