Delta Plc has an 80% subsidiary Golf Ltd, which has been a subsidiary of Delta for the whole of the current year. Golf reported a profit after tax of £600,000 in its own financial statements. You ascertain that at the year-end there was unrealised profit of £60,000 on sales by Golf to Delta. What is the non-controlling interest in Golf that would be reported in the consolidated statement of profit or loss and other comprehensive income of Delta for the year? Show your calculations
Delta Plc has an 80% subsidiary Golf Ltd, which has been a subsidiary of Delta for the whole of the current year. Golf reported a profit after tax of £600,000 in its own financial statements. You ascertain that at the year-end there was unrealised profit of £60,000 on sales by Golf to Delta. What is the non-controlling interest in Golf that would be reported in the consolidated statement of profit or loss and other comprehensive income of Delta for the year? Show your calculations
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Delta Plc has an 80% subsidiary Golf Ltd, which has been a subsidiary of Delta for the whole of the current year. Golf reported a profit after tax of £600,000 in its own financial statements. You ascertain that at the year-end there was unrealised profit of £60,000 on sales by Golf to Delta.
What is the non-controlling interest in Golf that would be reported in the consolidated statement of profit or loss and other comprehensive income of Delta for the year? Show your calculations
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