Reference no: EM131661599
Question - Dean Ltd acquired all the issued share capital of Diane Ltd on 1 January 2013 for cash $200,000. On the acquisition date, the equity of Diane Ltd is consisted of share capital, $125,000, general reserve - $31,250 and retained earnings $25,000.
All the identifiable assets and liabilities of Diane Ltd were recorded at fair value except for some depreciable plant and machinery, which had a carrying amount of $106,250 (cost $125,000) and fair value of 112,500. The remaining useful life was 10 years. The fair value adjustments would be made on consolidation rather than on Diane's own accounting book.
Additional information shows:
1. During the current period, Dean Ltd sold inventory to Diane Ltd for $25,000. This had originally cost Dean Ltd $22,750 to manufacture. By 31 December 2017, Diane sold half of the inventory to Brit Ltd for $15,388.
2. Dean Ltd's opening inventory includes inventory purchased from Diane Ltd for $109,000. The inventory had originally costed Diane Ltd $89,000 to purchase.
3. At 1 January 2017, Diane Ltd sold a machine to Dean Ltd for $180,000. This item had a carrying amount at time of sale to Diane Ltd of $120,000 (original cost $200,000). The remaining useful life of the machine is 12 years for both entities.
4. Dean Ltd provided computer services cost $36,000 to Diane Ltd during the current financial year. At 31 December 2017, $3,000 remained unpaid.
5. On 1 January 2016, Diane Ltd sold a plant to Dean Ltd for $22,000. Diane Ltd recorded a profit of $8,000 before tax. The remaining useful life was 10 years at the time of this intra-group transaction.
6. Diane Ltd declared final dividend of $10,000 from its current year's profit.
7. Goodwill had been impaired by 10% in the first year following the acquisition. During the year ended 31 December 2017 it was considered that the goodwill has been further impaired by an amount of $3,000.
8. The tax rate is 30%.
Required: I need help in all necessary consolidation worksheet journal entries for the year ended 30 December 2017, according to the requirements of AASB10 Consolidated Financial Statements. Assuming the financial year for Dean Ltd and Diane Ltd is as same as the calendar year.
|
Discuss implications of studies
: briefly describe the controversy and state that you will present research supporting first one side, and then the other.
|
|
Recommend two training delivery options for an organization
: Recommend two training delivery options for an organization and Explain your rationale for these recommendations.
|
|
Explore supply and demand conditions for your firms product
: Explore the supply and demand conditions for your firm's product. Examine the price elasticity of demand for the product(s) your firm sells.
|
|
Describe the eight steps in the personal selling process
: Explain and describe the eight steps in the personal selling process. prospecting, preapproach, approach, need assessment, presentation, meeting objective
|
|
Journal entries for the year ended
: I need help in all necessary consolidation worksheet journal entries for the year ended 30 December 2017
|
|
What is the ministry process
: Need to place yourself in the position of a pastor that manages this conflict in the life of John, Mary, and the congregation.
|
|
Describe the evolution of partnering selling
: Describe the evolution of partnering selling. What is the nature of strategic account management? How do value-added selling strategies enhance personal selling
|
|
Describe the evolution of strategic selling
: Describe the evolution of strategic selling. What are the four broad strategic areas in the Strategic Selling Model?
|
|
Describe the similarities of leadership styles
: Watch "12 o'clock High" and read "Its Our Ship", by Captain Abrashoff, and describe the similarities of leadership styles.
|