KK Ltd regularly sells goods to its wholly-owned subsidiary company Ash Ltd, which it has owned since Ash Ltd.'s incorporation. The statement of financial position of the two companies on 28th February 2020 is given below. Required: Prepare a consolidated account for the group that ended 28 February 2020. Assets Non-Current Assets PPE Investments in 55,000 shares in Ash Ltd at cost Current Assets Inventory Trade receivable: STATEMENT OF FINANCIAL POSITION AS AT 28 FEBRUARY 2020 Bank Total Assets Equity and Liability Members' interest and reserves Ash Ltd Other KK Ltd (R) 90,000 55,000 35,000 60,000 $5,000 16,000 2,000 Ash Ltd (R) 21,000 16,000 60,000 51,000 27,000 24,000 145,000 111,000 116,000 69,000

KK Ltd regularly sells goods to its wholly-owned subsidiary company Ash Ltd, which it has owned since Ash Ltd.'s incorporation. The statement of financial position of the two companies on 28th February 2020 is given below. Required: Prepare a consolidated account for the group that ended 28 February 2020. Assets Non-Current Assets PPE Investments in 55,000 shares in Ash Ltd at cost Current Assets Inventory Trade receivable: STATEMENT OF FINANCIAL POSITION AS AT 28 FEBRUARY 2020 Bank Total Assets Equity and Liability Members' interest and reserves Ash Ltd Other KK Ltd (R) 90,000 55,000 35,000 60,000 $5,000 16,000 2,000 Ash Ltd (R) 21,000 16,000 60,000 51,000 27,000 24,000 145,000 111,000 116,000 69,000

Cornerstones of Financial Accounting

4th Edition

ISBN:9781337690881

Author:Jay Rich, Jeff Jones

Publisher:Jay Rich, Jeff Jones

ChapterA2: Investments

Section: Chapter Questions

Problem 29E

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