Khan Inc. acquired 70% of the outstanding shares of Winnipeg Ltd. on July 31, Year 4 for $770,000. Winnipeg's statement of financial position on this date was as follows:

Required:
(a) Calculate non-controlling interest for the consolidated statement of financial position. (Omit $ sign in your response.)

Non-controlling interest $

(b) Prepare a schedule to calculate and allocate the acquisition (b) differential. (Negative amounts and amounts to be deducted should be indicated by a minus sign.)

Transcribed Image Text:

WINNIPEG LTD. STATEMENT OF FINANCIAL POSITION At July 31, Year 4 Plant and equipment (net) Patents Current assets Ordinary shares Retained earnings Long-term debt Current liabilities Carrying Amount $ 951,000 475,000 $1,426,000 $ 200,000 486,000 412,000 146,000 $1,371,000 Fair Value $1,100,000 120,000 510,000 435,000 146,000 WINNIPEG LTD. STATEMENT OF FINANCIAL POSITION At July 31, Year 4 Plant and equipment (net) Patents Current assets Ordinary shares Retained earnings Long-term debt Current liabilities Carrying Amount $ 951,000 475,000 $1,426,000 $ 200,000 486,000 412,000 146,000 $1,371,000 Fair Value $1,100,000 120,000 510,000 435,000 146,000

Answer rating: 100% (QA)

The following solution has been created in a stepbystep fashion Step 1 Determine NCI using the propo... View the full answer