the following are the statements of financial position of garden plc its subsidiary 535072
The following are the statements of financial position of Garden plc, its subsidiary Rose Ltd and its associate Petal Ltd:
Statements of financial position as at 31 December 20X9
Don't use plagiarized sources. Get Your Custom Essay on
the following are the statements of financial position of garden plc its subsidiary 535072
For $10/Page 0nly
|
Garden |
Rose |
Petal |
|
|
ASSETS |
£ |
£ |
£ |
|
Non-current assets |
|||
|
Land at cost |
240,000 |
84,000 |
|
|
Land at valuation |
180,000 |
||
|
Investment in Rose |
300,000 |
||
|
Investment in Petal |
72,000 |
||
|
Investments |
18,000 |
||
|
Current assets |
|||
|
Inventories |
15,000 |
99,000 |
5,400 |
|
Trade receivables |
33,000 |
98,400 |
1,200 |
|
Current account – Rose |
18,000 |
||
|
Current account – Petal |
2,400 |
||
|
Cash |
6,600 |
67,200 |
300 |
|
Total current assets |
75,000 |
264,600 |
6,900 |
|
Total assets |
705,000 |
444,600 |
90,900 |
|
EQUITY AND LIABILITIES |
|||
|
£1 shares |
300,000 |
120,000 |
30,000 |
|
Revaluation reserve |
90,000 |
||
|
Retained earnings |
270,000 |
216,000 |
57,600 |
|
570,000 |
426,000 |
87,600 |
|
|
Current liabilities |
|||
|
Trade payables |
135,000 |
3,600 |
900 |
|
Current account – Garden |
— |
15,000 |
2,400 |
|
Total equity and liabilities |
705,000 |
444,600 |
90,900 |
On 1 January 20X3 Garden plc acquired 75% of Rose Ltd for £300,000 when Rose’s share capital and reserves were £252,000. At the date of acquisition, the net book value of Rose’s non-current assets were £90,000. Rose immediately included the revaluation in its statement of financial position.
On 1 January 20X5 Garden acquired 20% of Petal Ltd for £72,000 when the fair value of Petal’s net assets were £42,000. Goodwill has been impaired in Rose by £77,700 and in Petal by £31,800. At the year end, Garden plc has inventor y acquired from Rose and Petal. Rose had invoiced the inventor y to Garden for £6,000 – the cost to Rose had been £1,200 – and Petal had invoiced Garden for £3,000 – the cost to Petal had been £1,800.
Non-controlling interests are measured using method 1.
Required:
Prepare Garden plc’s consolidated statement of financial position as at 31.12.20X9.
Calculator
Our features
We've got everything to become your favourite writing service
Money back guarantee
Your money is safe. Even if we fail to satisfy your expectations, you can always request a refund and get your money back.
Confidentiality
We don’t share your private information with anyone. What happens on our website stays on our website.
Our service is legit
We provide you with a sample paper on the topic you need, and this kind of academic assistance is perfectly legitimate.
Get a plagiarism-free paper
We check every paper with our plagiarism-detection software, so you get a unique paper written for your particular purposes.
We can help with urgent tasks
Need a paper tomorrow? We can write it even while you’re sleeping. Place an order now and get your paper in 8 hours.
Pay a fair price
Our prices depend on urgency. If you want a cheap essay, place your order in advance. Our prices start from $11 per page.