Question 1 In order to focus on its manufacturing division, the Board of Tanjong Bhd approved...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Question 1 In order to focus on its manufacturing division, the Board of Tanjong Bhd approved a resolution to close down its loss-making property division on 31 December 2022. The property division was available for immediate sale. Tanjong Bhd has identified a potential buyer but has not succeeded in disposing of the property operation by 31 December 2022. The sale is expected to be completed by 31 March 2023. The cash flows, revenue and expenses relating to the property division were clearly distinguishable from Tanjong Bhd's other operations. The property division's carrying value as at 31 December 2022 were as follows: RM'000 Assets 400 Liabilities (140) 260 The fair value of property division as at 31 December 2022 were as follows: RM'000 Assets 350 Liabilities (140) 210 Required: a. Advise the directors of Tanjong Bhd. with reason, whether the closure of property division meets the definition of discontinued operation. (6 marks) b. Assess how the property division should be presented in the statement of comprehensive income of Tanjong Bhd. for the year ended 31 December 2022. (9 marks) Question 1 In order to focus on its manufacturing division, the Board of Tanjong Bhd approved a resolution to close down its loss-making property division on 31 December 2022. The property division was available for immediate sale. Tanjong Bhd has identified a potential buyer but has not succeeded in disposing of the property operation by 31 December 2022. The sale is expected to be completed by 31 March 2023. The cash flows, revenue and expenses relating to the property division were clearly distinguishable from Tanjong Bhd's other operations. The property division's carrying value as at 31 December 2022 were as follows: RM'000 Assets 400 Liabilities (140) 260 The fair value of property division as at 31 December 2022 were as follows: RM'000 Assets 350 Liabilities (140) 210 Required: a. Advise the directors of Tanjong Bhd. with reason, whether the closure of property division meets the definition of discontinued operation. (6 marks) b. Assess how the property division should be presented in the statement of comprehensive income of Tanjong Bhd. for the year ended 31 December 2022. (9 marks)
Expert Answer:
Answer rating: 100% (QA)
The closure of Tanjong Bhds property division does meet the definition of a d... View the full answer
Related Book For
Auditing and Assurance services an integrated approach
ISBN: 978-0133125689
15th edition
Authors: Alvin a. arens, Randal j. elder, Mark s. Beasley
Posted Date:
Students also viewed these accounting questions
-
The case provides select financial information on GM for the years 2019 to 2021. For each item below, calculate the percentage of rate of annual growth (or decline) from 2019 to 2020 and 2020 to...
-
Managing Scope Changes Case Study Scope changes on a project can occur regardless of how well the project is planned or executed. Scope changes can be the result of something that was omitted during...
-
Read the case study "Southwest Airlines," found in Part 2 of your textbook. Review the "Guide to Case Analysis" found on pp. CA1 - CA11 of your textbook. (This guide follows the last case in the...
-
c++. error: array must be initialized with a brace enclosed initializer main.cpp X 10 11 ii 12 13 14 4567 15 16 17 18 19 287288285 20 21 23 24 25 26 27 28 25285922223288 30 31 33 34 36 37 40 41 42 43...
-
A neutron causes 232 90 Th to change according to the reaction (a) Identify the unknown nucleus A Z X, giving its atomic mass number A, its atomic number Z, and the symbol X for the element. (b) The...
-
Copperhead Company has provided you with the following information regarding its inventory of copper for September and October. Copperhead uses a perpetual inventory system....
-
Hardware controls relate to access to computer equipment. Do you agree? Why or why not?
-
Weighted-average method, assigning costs. Bio Doc Corporation is a biotech company based in Milpitas. It makes a cancer-treatment drug in a single processing department. Direct materials are added at...
-
1.We require a Portland cement concrete mixture for a small project on highway. The design mix will be quickly proportioned on the basis of weight with the ratio of cement:coarse aggregate: fine...
-
Major Project - Andrew Best - Best Business Solutions Incorporated (BBSI) Andrew Best was a very inquisitive child growing up. He was a great student in school and always asked a lot of questions....
-
A 2000 kg Smart car is going around a 50 m radius curve. The coefficient of static friction is 0.80. This problem DOES need to be written out for your portfolio. A separate complete FBD=KD must be...
-
What can be done after observing a disciplinary conference and assist the principal in seeking solutions to the problem.
-
Review the procedures for the district/school opening and closing of the school year. Observe or take an active part in these procedures. Critique the effectiveness and major concerns of the...
-
What is a strategic planning facilitator? What do you believe is the most important aspect of the facilitator's job? Explain why you believe this.
-
Identify the name of each of the poultry cuts along with the suitable style of cooking. Image Poultry cuts Style of cooking
-
What was Elton Mayo's most important improvement brought about by the Hawthorne studies?
-
A router with IP address 195.5.2.12 and Ethernet physical address AA:25:AB:1F:67:CD has received a packet for a destination with IP address 185.11.78.10. When the router checks its routing table, it...
-
Saccharin is an artificial sweetener that is used in diet beverages. In order for it to be metabolized by the body, it must pass into cells. Below are shown the two forms of saccharin. Saccharin has...
-
The following are audit procedures from different transaction cycles: 1. Examine sales invoices for evidence of internal verification of prices, quantities, and extensions. 2. Select items from the...
-
List the eight parts of a standard unqualified audit report for a non-public entity and explain the meaning of each part. How do the parts compare with those found in a qualified report?
-
Distinguish between auditing standards and generally accepted accounting principles, and give two examples of each.
-
Given the modal mass matrix, \(m_{q}=\left[\begin{array}{ll}2 & 0 \\ 0 & 2\end{array} ight] \mathrm{kg}\), the modal stiffness matrix, \(k_{q}=\left[\begin{array}{cc}5.858 \times 10^{6} & 0 \\ 0 &...
-
For a single-degree-of-freedom spring-mass-damper system subject to forced harmonic vibration, the measured FRF is displayed in Figs. P6.1a and P6.1b. Using the peak picking method, determine \(m\)...
-
The direct and cross FRFs for the two degree of freedom system shown in Fig. P6.2a are provided in Figs. P6.2b and P6.2c. Fig. P6.2 a Two degree of freedom spring-mass-damper system under forced...
Study smarter with the SolutionInn App