The following information relates to questions 1-6 On 1 July 2020, Cindy Ltd acquired all the issued capital of Vida Ltd for a cash payment of $66,000 when the equity of Vida Ltd was: Share capital $31,000 Retained earnings Revaluation surplus $5,000 $8,000 At 1 July 2020, all assets of Vida Ltd were fairly valued. Directors determined that goodwill would be impaired by 10% in 2021, 2022 and 2023 on its original value. Assume that there are no intra-group transactions or deferred tax consequences from 1 July 2020 to 30 June 2023. The financial statements as at 30 June 2023 are provided in question 3 in the partially-completed consolidation worksheet. Tax rate is 30%. Reporting date is 30 June. Cindy Ltd has investment in other entities.
The following information relates to questions 1-6 On 1 July 2020, Cindy Ltd acquired all the issued capital of Vida Ltd for a cash payment of $66,000 when the equity of Vida Ltd was: Share capital $31,000 Retained earnings Revaluation surplus $5,000 $8,000 At 1 July 2020, all assets of Vida Ltd were fairly valued. Directors determined that goodwill would be impaired by 10% in 2021, 2022 and 2023 on its original value. Assume that there are no intra-group transactions or deferred tax consequences from 1 July 2020 to 30 June 2023. The financial statements as at 30 June 2023 are provided in question 3 in the partially-completed consolidation worksheet. Tax rate is 30%. Reporting date is 30 June. Cindy Ltd has investment in other entities.
Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Chapter21: The Statement Of Cash Flows
Section: Chapter Questions
Problem 13P: Comprehensive The following are Farrell Corporations balance sheets as of December 31, 2019, and...
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