FTR Bhd provided a rental income of RM700,000 per annum for letting out one of its...
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FTR Bhd provided a rental income of RM700,000 per annum for letting out one of its properties to BCX Bhd. 4) All dividends in the group are paid in the year 2017. 5) The tax effects on unrealized profit for inter companies transactions need to be accounted for. 6) Assume no changes in the share capital for both companies and the company's income tax rate remains 25% throughout the years. REQUIRED: a) Calculate the goodwill on consolidation assuming the group used the fair value method to record the non-controlling interest. b) Prepare the relevant consolidation journal entries for the year ended 31 December 2017. c) Prepare the consolidated statement of comprehensive income for FTR Bhd and its subsidiary for the year ended 31 December 2017. d) Prepare the consolidated statements of changes in equity for FTR Bhd and its subsidiary for the year ended 31 December 2017. e) Prepare the consolidated statement of financial position for FTR Bhd and its subsidiary as at 31 December 2017. FTR Bhd provided a rental income of RM700,000 per annum for letting out one of its properties to BCX Bhd. 4) All dividends in the group are paid in the year 2017. 5) The tax effects on unrealized profit for inter companies transactions need to be accounted for. 6) Assume no changes in the share capital for both companies and the company's income tax rate remains 25% throughout the years. REQUIRED: a) Calculate the goodwill on consolidation assuming the group used the fair value method to record the non-controlling interest. b) Prepare the relevant consolidation journal entries for the year ended 31 December 2017. c) Prepare the consolidated statement of comprehensive income for FTR Bhd and its subsidiary for the year ended 31 December 2017. d) Prepare the consolidated statements of changes in equity for FTR Bhd and its subsidiary for the year ended 31 December 2017. e) Prepare the consolidated statement of financial position for FTR Bhd and its subsidiary as at 31 December 2017.
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a Calculation of goodwill on consolidation using fair value method FTR Bhd acquired 70 equity intere... 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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