Question 1 In order to focus on its manufacturing division, the Board of Tanjong Bhd approved...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Question 1 In order to focus on its manufacturing division, the Board of Tanjong Bhd approved a resolution to close down its loss-making property division on 31 December 2022. The property division was available for immediate sale. Tanjong Bhd has identified a potential buyer but has not succeeded in disposing of the property operation by 31 December 2022. The sale is expected to be completed by 31 March 2023. The cash flows, revenue and expenses relating to the property division were clearly distinguishable from Tanjong Bhd's other operations. The property division's carrying value as at 31 December 2022 were as follows: RM'000 Assets 400 Liabilities (140) 260 The fair value of property division as at 31 December 2022 were as follows: RM'000 Assets 350 Liabilities (140) 210 Required: a. Advise the directors of Tanjong Bhd. with reason, whether the closure of property division meets the definition of discontinued operation. (6 marks) b. Assess how the property division should be presented in the statement of comprehensive income of Tanjong Bhd. for the year ended 31 December 2022. (9 marks) Question 1 In order to focus on its manufacturing division, the Board of Tanjong Bhd approved a resolution to close down its loss-making property division on 31 December 2022. The property division was available for immediate sale. Tanjong Bhd has identified a potential buyer but has not succeeded in disposing of the property operation by 31 December 2022. The sale is expected to be completed by 31 March 2023. The cash flows, revenue and expenses relating to the property division were clearly distinguishable from Tanjong Bhd's other operations. The property division's carrying value as at 31 December 2022 were as follows: RM'000 Assets 400 Liabilities (140) 260 The fair value of property division as at 31 December 2022 were as follows: RM'000 Assets 350 Liabilities (140) 210 Required: a. Advise the directors of Tanjong Bhd. with reason, whether the closure of property division meets the definition of discontinued operation. (6 marks) b. Assess how the property division should be presented in the statement of comprehensive income of Tanjong Bhd. for the year ended 31 December 2022. (9 marks)
Expert Answer:
Answer rating: 100% (QA)
The closure of Tanjong Bhds property division does meet the definition of a d... View the full answer
Related Book For
Auditing and Assurance services an integrated approach
ISBN: 978-0133125689
15th edition
Authors: Alvin a. arens, Randal j. elder, Mark s. Beasley
Posted Date:
Students also viewed these accounting questions
-
The case provides select financial information on GM for the years 2019 to 2021. For each item below, calculate the percentage of rate of annual growth (or decline) from 2019 to 2020 and 2020 to...
-
Managing Scope Changes Case Study Scope changes on a project can occur regardless of how well the project is planned or executed. Scope changes can be the result of something that was omitted during...
-
Read the case study "Southwest Airlines," found in Part 2 of your textbook. Review the "Guide to Case Analysis" found on pp. CA1 - CA11 of your textbook. (This guide follows the last case in the...
-
c++. error: array must be initialized with a brace enclosed initializer main.cpp X 10 11 ii 12 13 14 4567 15 16 17 18 19 287288285 20 21 23 24 25 26 27 28 25285922223288 30 31 33 34 36 37 40 41 42 43...
-
Complete the following nuclear reactions, assuming that the unknown quantity signified by the question mark is a single entity: (a) (n,)? (b) (?, n) (c) (d) 34 Ar 281 (18A1 , 27
-
Canadian Tire Corporation, Limited's cash flow statement for the years ended December 28, 2013, and December 29, 2012, is reproduced below: Adapted from the Canadian Tire Annual Report 2013....
-
On December 14, 2011, appellant Aaron Olson contracted to receive telephone service from respondent CenturyLink and also applied for reduced-rate service that CenturyLink provides through Minnesotas...
-
Air Meals is a company that prepares in-flight meals for airlines in its kitchen located next to the local airport. The companys planning budget for December appears below: Air Meals Planning Budget...
-
1.Changes in income can impact our consumption choices. As one's income fluctuates, they may also get more joy out of some goods and less from others. Respond to each of the following in 2-3 complete...
-
3 7 While there equipment is considered reliable, experience dictates that the following level of epairs will likely be for the period of the warranty, and a discount rate of 10% is appropriate. This...
-
Imagine you are a criminal justice administrator and have been assigned to develop and implement a criminal justice entity of your choice (for example, a new correctional institution). What...
-
With each of these media types: 1) Paid Media, 2) Owned media, and 3) Earned media. Define the term Give several examples of the kinds of messaging/promotion that are included in this media type...
-
Determining whether a criminal justice agency is effective as an organization is dependent upon the factors being measured and evaluation methods. Select a specific segment of criminal justice (e.g.,...
-
Constitution says that one of the powers of Congress is to "To establish an uniform Rule of Naturalization." This means Congress is responsible for passing laws with respect to immigration. Find a...
-
Evaluate the given expression. Take 0 A = -2 and C = 1 1 3A + 0.5C Evaluate the given expression. Take 0 A = 1 0 -1 4 2AT
-
Valuation of Financial Instruments You have $200 000 to invest and you will be allocating this into the following three financial instruments: 1. A government bond that has face value of $1 000...
-
If the amplifier indicated by the box input impedance of oo, which of the following statements are true ? has an open loop gain as well as Feedback factor (\beta = 1/ R_1\) The feedback is voltage...
-
The following are audit procedures from different transaction cycles: 1. Examine sales invoices for evidence of internal verification of prices, quantities, and extensions. 2. Select items from the...
-
List the eight parts of a standard unqualified audit report for a non-public entity and explain the meaning of each part. How do the parts compare with those found in a qualified report?
-
Distinguish between auditing standards and generally accepted accounting principles, and give two examples of each.
-
Consider the electrical circuit shown below where \(v_{i}(t)=\beta\), for \(t \geq 0\). Find the dynamic system response \(v_{o}(t)\). VC C ww R V;(t) R ww R3 A First-Order Electrical System Vo (t) +
-
Find the dynamic system response for the spring mass damping system shown in Figure 3.2, where \(f(t)=\beta, x(0)=0\) (i.e. there is no initial energy stored). b f(t) k Figure 3.2 A first-order...
-
Consider a first-order system with a forcing function \(f(t)\) such that input-output differential equation is given by \[\begin{equation*}\dot{y}+3 y=f(t) \text {, } \tag{3.7}\end{equation*}\] where...
Study smarter with the SolutionInn App