Pistachio acquired 80% of the share capital of Peanuts two years ago, when the reserves of...
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Pistachio acquired 80% of the share capital of Peanuts two years ago, when the reserves of Peanuts stood at SAR250,000. Pistachio paid initial cash consideration of SAR2 million. At acquisition the fair values of Peanuts' plant exceeded its book value by SAR400,000. The fair value of the 20% non-controlling interest was SAR760,000. The Statements of financial position of both companies are as follows: Statements of financial position as at 31 December 20XX Pistachio Peanuts SAR'000 SAR'000 Investment in Peanuts at cost 2,000 5,500 Property, plant & equipment 2,000 Current assets: Inventory 550 100 Receivables 400 200 Cash 200 50 Non-current liabilities -2,400 -400 Current liabilities -1,250 -650 5,000 1,300 Share capital Retained earnings 2,600 1000 2,400 300 5,000 1300 Required Prepare the consolidated statement of financial position as at 31 December 20XX Pistachio acquired 80% of the share capital of Peanuts two years ago, when the reserves of Peanuts stood at SAR250,000. Pistachio paid initial cash consideration of SAR2 million. At acquisition the fair values of Peanuts' plant exceeded its book value by SAR400,000. The fair value of the 20% non-controlling interest was SAR760,000. The Statements of financial position of both companies are as follows: Statements of financial position as at 31 December 20XX Pistachio Peanuts SAR'000 SAR'000 Investment in Peanuts at cost 2,000 5,500 Property, plant & equipment 2,000 Current assets: Inventory 550 100 Receivables 400 200 Cash 200 50 Non-current liabilities -2,400 -400 Current liabilities -1,250 -650 5,000 1,300 Share capital Retained earnings 2,600 1000 2,400 300 5,000 1300 Required Prepare the consolidated statement of financial position as at 31 December 20XX
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Related Book For
Taxation Of Individuals And Business Entities 2021
ISBN: 9781260247138
12th Edition
Authors: Brian Spilker, Benjamin Ayers, John Barrick, Troy Lewis, John Robinson, Connie Weaver, Ronald Worsham
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