On January 1, 2011, A acquired 60% of the shares issued by B Co., Ltd. at KRW
Question:
On January 1, 2011, A acquired 60% of the shares issued by B Co., Ltd. at KRW 17,000. At the time of acquisition, the capital account of Eul Co., Ltd. consisted of KRW 15,000 in capital and KRW 10,000 in retained earnings, and the book value and fair value of Eul Co., Ltd. were consistent. And when the reported net profit of Eul Co., Ltd. in 2011 is 5,000 won, resent each of the following independent internal transactions.
1. In 2011, A Co., Ltd. sold a product with a cost of 1,000 won to Eul Co., Ltd., and the product was not sold in Eul Co., Ltd.
2. If the sale of the above product is sold from B Co., Ltd. to A Co., Ltd., if other circumstances are the same, disclose the accounting of the net profit of the non-controlling stake. (Upselling.)
