Question: Zoe Ltd has the following SFP at December 31 20X5

Zoe Ltd. has the following SFP at December 31, 20X5:
Zoe Ltd.
Statement of Financial Position
December 31, 20X5

On December 31, 20X5, Halifax Ltd. bought 70% of the outstanding shares of Zoe Ltd. and paid $ 190,000. The current fair values of the net assets of Zoe Ltd. on December 31, 20X5, are:

Halifax Ltd. is an investment company that has assets composed only of cash and short- term marketable investments.

Calculate the following items, as they would appear on the Halifax Ltd. consolidated SFP at December 31, 20X5, under the entity method and the parent- company extension method respectively:
a) Land
b) Goodwill
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  • CreatedMarch 13, 2015
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