Additional information:

1. During the year, Hyun Bin sold inventories to Son YJ at cost plus 25%. Invoice value is RM150,000. Son YJ has sold 60% of these inventories.
2. Current year revaluation of assets refers to land revaluation of RM200,000.
3. In December 2020, Son YJ declared preference shares dividends of 5% which has not yet been accrued.
4. The group uses equity method accounting to prepare its group accounts.

Required:

1. Prepare the Group Statement of Financial Position for Hyun Bin group as at 31 December 2020. (13 marks)
2. Prepare the Group Statement of Comprehensive Income for Hyun Bin group for year ended 31 December 2020. 
    

Transcribed Image Text:

Question 4 Hyun Bin Sdn Bhd has 40% joint control over Son YJ since 1 April 2019. Retained earnings and revaluation reserve balances on acquisition date are RM926,000 and RM600,000 respectively. The following are the financial statements for Hyun Bin and Son YJ the year ended 31 December 2020: Sales (-) Cost of sales Gross profit (-) Expenses (+) Other income Profit before taxation. (-) Taxation Profit after taxation Revaluation of land Comprehensive income Investment Non-current assets Current assets: Inventory Trade receivables Loan to Son YJ Bank Total Ordinary shares 5% Preference shares Revaluation reserve Retained earnings B/F Profit for the year Trade payables Loan from Hyun Bin Total Hyun Bin (RM'000) Son YJ (RM'000) 11,009 (6,675) 4,334 (1,421) 20 2,933 (705) 2,228 2,228 Hyun Bin (RM'000) Son YJ (RM'000) 2,100 37,183 5,665 6,210 100 2,017 53,275 43,500 1,978 2.228 5,569 1,999 (764) 1,235 (650) nil 585 (132) 453 200 653 53,275 12,837 2,441 2,612 1,103 18,993 13,000 1,000 800 865 453 2,775 100 18,993 Question 4 Hyun Bin Sdn Bhd has 40% joint control over Son YJ since 1 April 2019. Retained earnings and revaluation reserve balances on acquisition date are RM926,000 and RM600,000 respectively. The following are the financial statements for Hyun Bin and Son YJ the year ended 31 December 2020: Sales (-) Cost of sales Gross profit (-) Expenses (+) Other income Profit before taxation. (-) Taxation Profit after taxation Revaluation of land Comprehensive income Investment Non-current assets Current assets: Inventory Trade receivables Loan to Son YJ Bank Total Ordinary shares 5% Preference shares Revaluation reserve Retained earnings B/F Profit for the year Trade payables Loan from Hyun Bin Total Hyun Bin (RM'000) Son YJ (RM'000) 11,009 (6,675) 4,334 (1,421) 20 2,933 (705) 2,228 2,228 Hyun Bin (RM'000) Son YJ (RM'000) 2,100 37,183 5,665 6,210 100 2,017 53,275 43,500 1,978 2.228 5,569 1,999 (764) 1,235 (650) nil 585 (132) 453 200 653 53,275 12,837 2,441 2,612 1,103 18,993 13,000 1,000 800 865 453 2,775 100 18,993

Answer rating: 100% (QA)

ANS WER To find the break even point in unit sales for the spray mouth wash we need to set the total ... View the full answer