a. Compute goodwill/bargain purchase on the acquisition of Kelemak Bhd.?

b. Calculate gain/losses arising from the second acquisition of shares in Kelemak Bhd.?

c. Determine the carrying amount of investment in Melekek Bhd.?

d. Compute group retained profit and non-controlling interest as of 30 June 2020 using the schedule form.??

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Alor Bhd has been in business selling high quality furniture for kitchen, living room and bathroom in Melaka. After almost 25 years in this furniture business, the company faced stiff competition from China. However, the company went ahead with new idea to survive and passionate about being the most affordable furniture store in Malaysia. 1 July 2016 The board of directors decided to embark a new business model by aggressively focusing on design, build and custom furniture. The company new mission is to be a lifestyle industrial design, which creates classically inspired leather, wood and metal product. Due to that, Alor Bhd made 100% investments in Gajah Bhd and Lendu Bhd, both supplying wood and metal components including solid wood flooring, solid timber flooring and total roofing work. Alor Bhd foresees the potential of both new established companies which strategically located in the same vicinity of Alor Bhd. These acquisitions Alor Bhd to increase its company market share and reduce the company overall operating costs. The consideration transferred paid were equal to the fair value of the net assets of Gajah Bhd and Lendu Bhd. 1 July 2019 Kelemak Bhd was previously a rival company of Alor Bhd. Despite numerous economic downturns, the development of Kelemak Bhd outperforms Alor Bhd. Acknowledging that Kelemak Bhd may pose threat to Alor Bhd, the company acquired 60% of ordinary shares of Kelemak Bhd at a market price of RM2 each. The total consideration comprises of 90% cash and the remaining 10% in the form of Alor Bhd's 6% Preference Shares. However, only cash transaction has been recorded. The total fair value of the net assets of Kelemak Bhd was RM88 million and included in this amount was a fair value adjustment of Kelemak Bhd's non-depreciable land. This adjustment, however, has not been recorded. During the post-acquisition period, Kelemak Bhd has not issued any new shares. 1 January 2020 Alor Bhd decided to further acquire 20% of the ordinary shares in Kelemak Bhd for RM20 million cash. On the same day, Alor Bhd acquired 30% of the ordinary shares of Melekek Bhd at RM15 million. For the year ended 30 June 2020, Melekek Bhd generates a profit of RM4 million. Alor Bhd has been in business selling high quality furniture for kitchen, living room and bathroom in Melaka. After almost 25 years in this furniture business, the company faced stiff competition from China. However, the company went ahead with new idea to survive and passionate about being the most affordable furniture store in Malaysia. 1 July 2016 The board of directors decided to embark a new business model by aggressively focusing on design, build and custom furniture. The company new mission is to be a lifestyle industrial design, which creates classically inspired leather, wood and metal product. Due to that, Alor Bhd made 100% investments in Gajah Bhd and Lendu Bhd, both supplying wood and metal components including solid wood flooring, solid timber flooring and total roofing work. Alor Bhd foresees the potential of both new established companies which strategically located in the same vicinity of Alor Bhd. These acquisitions Alor Bhd to increase its company market share and reduce the company overall operating costs. The consideration transferred paid were equal to the fair value of the net assets of Gajah Bhd and Lendu Bhd. 1 July 2019 Kelemak Bhd was previously a rival company of Alor Bhd. Despite numerous economic downturns, the development of Kelemak Bhd outperforms Alor Bhd. Acknowledging that Kelemak Bhd may pose threat to Alor Bhd, the company acquired 60% of ordinary shares of Kelemak Bhd at a market price of RM2 each. The total consideration comprises of 90% cash and the remaining 10% in the form of Alor Bhd's 6% Preference Shares. However, only cash transaction has been recorded. The total fair value of the net assets of Kelemak Bhd was RM88 million and included in this amount was a fair value adjustment of Kelemak Bhd's non-depreciable land. This adjustment, however, has not been recorded. During the post-acquisition period, Kelemak Bhd has not issued any new shares. 1 January 2020 Alor Bhd decided to further acquire 20% of the ordinary shares in Kelemak Bhd for RM20 million cash. On the same day, Alor Bhd acquired 30% of the ordinary shares of Melekek Bhd at RM15 million. For the year ended 30 June 2020, Melekek Bhd generates a profit of RM4 million.

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a Compute good willbargain purchase on acquisition ... View the full answer