Reference no: EM133067481
Question 1 - The following is the financial statement of Oxford Berhad and Cardiff Sdn Bhd as at 31 December 2020.
|
|
Oxford RM
|
Cardiff RM
|
|
Plant, property and equipment
|
250,000
|
120,000
|
|
Current assets
|
295,000
|
55,000
|
|
|
545,000
|
175,000
|
|
Ordinary Shares Capital
|
220,000
|
120,000
|
|
Retained Earnings
|
142,000
|
16,000
|
|
Long-term liabilities
|
183,000
|
39,000
|
|
|
545,000
|
175,000
|
As at 31 December 2020 the Oxford Berhad has acquired a 100% stake in Cardiff Sdn Bhd for a purchase consideration of RM200,000in cash. Both companies have also not taken into account the following:
1. The fair value of Cardiff's Plant, Property and Equipment has increased to RM135,000.
2. Cardiff Sdn Bhd also has a patent worth RM12,000.
Required - Prepare consolidated financial position statements as at 3 December 2020 following the acquisition of Cardiff Sdn Bhd.
Question 2 - As at 30 June 2020, Syarikat Murni Bhd acquired 80% ordinary shares in Syarikat Saji Bhd for RM250,000 in cash. The financial position statements of both companies as at 30 June 2020, prior to the acquisition are as follows:
|
|
Murni RM
|
Saji RM
|
|
Plant, property and equipment
|
|
1350000
|
|
220000
|
|
Current assets
|
455000
|
|
85000
|
|
|
Current liabilities
|
73000
|
382000
|
59000
|
26000
|
|
|
|
1732000
|
|
246000
|
|
Ordinary Shares Capital
|
|
1400000
|
|
170000
|
|
Retained Earnings
|
|
302000
|
|
36000
|
|
Long-term liabilities
|
|
30000
|
|
40000
|
|
|
|
1732000
|
|
246000
|
Required - Prepare the Consolidated Statement of Financial Position Statements as of 30 June 2020 after the merger of the two companies. All assets and liabilities are at fair value, except that the fair value of a property has increased by RM10,000 from its book value. Show the NCI calculations on the fair value of net assets.