Question: TechSolutions Ltd. provided the following balance sheets as at 31 December 2023. Draw up the consolidated balance sheet as at that date. TechSolutions Ltd Balance
TechSolutions Ltd. provided the following balance sheets as at 31 December 2023. Draw up the consolidated balance sheet as at that date.
TechSolutions Ltd Balance Sheet as at 31 December 2023Assets | Amount |
Investment in subsidiary (95,000 shares bought 31.12.2022) | $210,000 |
Fixed assets | $280,000 |
Current assets | $60,000 |
Total | $550,000 |
Liabilities and Equity | Amount |
Share capital | $400,000 |
Profit and loss account (31.12.2022) | $50,000 |
Add Profit for 2023 | $100,000 |
Total | $550,000 |
Assets | Amount |
Fixed assets | $110,000 |
Current assets | $70,000 |
Total | $180,000 |
Liabilities and Equity | Amount |
Share capital | $90,000 |
Profit and loss account (31.12.2022) | $10,000 |
Add Profit for 2023 | $80,000 |
Total | $180,000 |
Requirement: Draw up the consolidated balance sheet for TechSolutions Ltd. and its subsidiary as at 31 December 2023. Calculate the consolidated retained earnings.
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