PMAB acquires 50 percent of the shares (50 percent of the voting rights) in DB at...

 

 
 

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PMAB acquires 50 percent of the shares (50 percent of the voting rights) in DB at SEK 600mn. The book value of equity is SEK 644mn. Other intangibles at acquisition are SEK 408mn, amortized over 5 years. Dividend from DB in year 1 is SEK 15mn. Complete the consolidation. Use the technique for equity accounting. You find the accounts for DB in example 3a Purchase price Other intangibles Purchased equity Goodwill 1 Equity accounting (including other intangibles in DB) 2 3 Purchase price 4 Book value of equity 5 Other intangibles 6 Amortisation 7 Tax rate 600 690 408 20% 37.5% 8 9 10 31/12 20x2 РМАВ DB Note Adjustment Equity acc. CBS 11 12 Goodwill 13 Real estate 0.0 0.0 14 Shares in DB 600.0 A 609.0 15 Cash 16 Total assets 15.0 15.0 615.0 624.0 18 Minority/NC-interest 19 Share capital* 20 Other equity 21 Deterred tax 0.0 600.0 600.0 15.0 24.0 0.0 22 Debt 23 Total debt/EQ 24 * 40 mn shares 0.0 615.0 624.0 25 26 20x2 PMAB DB Adjustment Equity acc. CIS 27 Sales 28 Operating costs 29 Depreciations 30 EBIT 31 Associated comp. 32 Dividend DB 33 ЕВT 0.0 0.0 0.0 0.0 A 9.0 15.0 15.0 15.0 24.0 34 Deferred tax 0.0 35 Taxes paid 36 Net income 0.0 15.0 24.0 PMAB acquires 50 percent of the shares (50 percent of the voting rights) in DB at SEK 600mn. The book value of equity is SEK 644mn. Other intangibles at acquisition are SEK 408mn, amortized over 5 years. Dividend from DB in year 1 is SEK 15mn. Complete the consolidation. Use the technique for equity accounting. You find the accounts for DB in example 3a Purchase price Other intangibles Purchased equity Goodwill 1 Equity accounting (including other intangibles in DB) 2 3 Purchase price 4 Book value of equity 5 Other intangibles 6 Amortisation 7 Tax rate 600 690 408 20% 37.5% 8 9 10 31/12 20x2 РМАВ DB Note Adjustment Equity acc. CBS 11 12 Goodwill 13 Real estate 0.0 0.0 14 Shares in DB 600.0 A 609.0 15 Cash 16 Total assets 15.0 15.0 615.0 624.0 18 Minority/NC-interest 19 Share capital* 20 Other equity 21 Deterred tax 0.0 600.0 600.0 15.0 24.0 0.0 22 Debt 23 Total debt/EQ 24 * 40 mn shares 0.0 615.0 624.0 25 26 20x2 PMAB DB Adjustment Equity acc. CIS 27 Sales 28 Operating costs 29 Depreciations 30 EBIT 31 Associated comp. 32 Dividend DB 33 ЕВT 0.0 0.0 0.0 0.0 A 9.0 15.0 15.0 15.0 24.0 34 Deferred tax 0.0 35 Taxes paid 36 Net income 0.0 15.0 24.0

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