Explain me this exercice and the calculation of consolidation in details H owns 60% of the share
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Explain me this exercice and the calculation of consolidation in details
H owns 60% of the share capital of S, which it bought for €80m, before S had begun trading, when its only asset was €100m in cash
Thus, Goodwill = €80 - 60 = €20
Minority Interest = 40% x €100 = €40
Before the end of the year, S had borrowed some funds from the group (€50), and a 3 rd party creditor (€15), and invested those, together with €25 of its cash in plant and machinery (fixed assets)
Related Book For
Income Tax Fundamentals 2013
ISBN: 9781285586618
31st Edition
Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill
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