Wombat Ltd has acquired all the shares of Emu Ltd. During 2020-2021, the following transactions have occurred: Wombat Ltd acquired a motor vehicle from an external vendor for $35,000 on 1 July 2020, 20% depreciation p.a., and sells it to its subsidiary, Emu Ltd, for $32,000 on the same day. Emu Ltd charges 25% depreciation p.a. on the vehicle. Prepare the consolidation worksheet entries at 30 June 2021 (current year). Prepare the consolidation worksheet entries at 30 June 2022 (next year

Q: On January 1, 2020, Erika Company (Erika) purchased 62% interest in Finn Limited (Finn) for…

A: Depreciation on equipment over  5 years (2016 - 2020) = $2300000 x 5years/ 10 years = $1150000 book…

Q: On January 1, 2021, Herwin Company acquired 40%of GIC Company by purchasing 8,000 shares for…

A: Solution Given % acquired by Herwin 40% Number of shares purchased 8000 Purchase…

Q: On January 2, 2021, Harry Co. acquired 60% interest in Louis Corp. for P360,000. Information on…

A: Consolidation indicates a situation where two corporations combined their resources through…

Q: On January 1, 2021, ABC Co. acquired all of the identifiable assets and assumed all of the…

A: a.Fair Value of Consideration Given 1.Purchase consideration paid in cash-20,00,000 2.To be paid in…

Q: overvalued Building. As a consideration, OPQ Co. issued its own shares of stock with a market value…

A: Business combination: When a company takes a business of another company, such taking over is known…

Q: .  If the patent has a remaining life of nine years, at what amount should the patent be reported on…

A: Step 1 On consolidated balance sheet, patent is recorded at its fair value on acquisition date less…

Q: On June 30, 2020, Cape Company purchased 25% of the outstanding ordinary shares of Bit Co. at a…

A: Under the fair value method, the investment is reported at the fair value of the market share of the…

Q: On April 1, 2020, Republic Company sold equipment to its wholly owned subsidiary, Barre Corporation,…

A: Working Note: 1. The original cost of the asset is = $60,000 2. The Accumulated depreciation is =…

Q: On January 1, 2019, Field Company acquired 40% of North Company by purchasing 10,000 shares for…

A: Equity method is an accounting technique of recording the financial transactions related to…

Q: On January 1, 2021, ABC Company acquired all of the assets and assumed all of the liabilities of…

A: P1,280,000

Q: On January 1, 2021, ABC Company acquired all of the assets and assumed all of the liabilities of…

A: SOLUTION GOODWILL IS AN INTANGIBLE ASSETS THAT ACCOUNTS FOR EXCESS PURCHASE PRICE OF ANOTHER…

Q: On January 1, 2019, Field Company acquired 40% of North Company by purchasing 8,000 shares for…

A: SOLUTION A JOURNAL IS THE COMPANY'S OFFICIAL BOOK IN WHICH TRANSACTIONS ARE RECORDED IN…

Q: Goodfellas acquired 70% of the 200,000 equity shares of Badfellas, its only subsidiary, on 1 April…

A: The question is based on the concept of Financial Accounting.

Q: On December 1, 2021, ABC Company acquired all the assets and liabilities of XYZ Inc. issuing 100,000…

A: Purchase Consideration = 100000 x 1.90 = 190000 Fair value of assets taken over    Cash…

Q: On January 1, 2020, Graham Co. acquired 40% of the outstanding voting common shares of Lenore Co.…

A: In the given case the company has only acquired 40% stake in the company it will be accounted as an…

Q: Martinez’s journal entries

A: Date Particulars LF Debit$ Credit$ 07/01/2020 Common stock of Paulson Co…

Q: On January 1, 2021, ABC Co. acquired all of the identifiable assets and assumed all of the…

A: SOLUTION GOODWILL IS AN INTANGIBLE ASSETS THAT ACCOUNTS EXCESS PURCHASE PRICE OF ANOTHER COMPANY.

Q: Equity method balance in Phillips's Investment in Bearden, Inc., account as of December 31, 2022.…

A: Consolidation: A process in which many smaller companies get amalgamated through merger and…

Q: Permata Corporation acquired 60% of Akik Corporation on January 1, 2019, at a cost of…

A: Non-controlling interest refers to the shareholders of an entity who can not control the entity due…

Q: POM acquired 80% of the share of SOM for $26,550 on 1 Jan 2019, the date of acquisition (DOA). At…

A: 1. Calculation of Goodwill on the acquisition of SOM Net assets value of SOM is Share capital+…

Q: On January 1, 2019, Orange Co. purchased 40% of the outstanding ordinary shares of New Company…

A: The value which is paid to acquire the other company’s net assets is referred to as the acquisition…

Q: On January 1, 2020, Alison, Inc., paid $83,800 for a 40 percent interest in Holister Corporation’s…

A: Solution Common stock can be defined as securities that represent individuals ownership in a said…

Q: On July 1, 2019, CaviteCorporation purchased 40% of the outstanding ordinary shares of another…

A: Outstanding ordinary shares = P500,000 Net assets of investee = P1,000,000 Fair Value greater than…

Q: Paul Company acquired 60% of Smith Company for $480,000 on January 1, 2019. On that date the…

A: Step 1 Hello. Since your question has multiple sub-parts, we will solve first three sub-parts for…

Q: uisition-date fair value of $350,000. This intangible asset is being amortized over 20 years. Gibson…

A: The process of integrating the financial results of numerous subsidiary firms into the parent…

Q: On July 1, 2019, Killearn Company acquired 138,000 of the outstanding shares of Shaun Company for…

A: Income earned 2019=Income ×612=$641,000×612=$320,500

Q: The individual financial statements for Gibson Company and Keller Company for the year ending…

A: Consolidated Financial Statement - In these type of financial statements includes assets,…

Q: On January 3, 2020, Gladstone Corporation purchased 30% of the outstanding voting common stock of…

A: In the equity method, we recognizes investment at cost.   In this method, the value of investment is…

Q: On September 1, 2018. Vernon Corporation acquired Barlow Enterprises for a cash payment of 5820.000.…

A: Answer: Part 1: Part 2: The fair value of the Reporting unit = 720,000. Carrying amount of Borlow =…

Q: On January 1, 2021, ABC Co. acquired all of the identifiable assets and assumed all of the…

A: SOLUTION FAIR VALUE OF ASSET IS THE AMOUNT PAID IN A TRANSACTION BETWEEN PARTICIPANTS IF IT SOLD IN…

Q: What amount of the investment cost is attributable to goodwill?

A: Given information is: On January 2, 2020, Kent Corp. paid 1,600,000 for the purchase of 40% of the…

Q: On January 1, 2018, Panorama Company acquired 80% of Scann Corporation for $6,400,000.At the time of…

A: 1.Investment in S at December 31,2018 = $6,400,000 * 80% + $300,000 * 80% = $5,120,000 + $240,000 =…

Q: 1) Calculate Investment in Scann shown on Panorama's ledger at December 31, 2018 and 2019. 2)…

A:

Q: On January 1, 2018, Panorama Company acquired 80% of Scann Corporation for $6,400,000.At the time of…

A: Note: Since we only answer up to 3 sub-parts, we’ll answer the first 3. Please resubmit the question…

Q: On January 1, 2020, Pail Corporation acquired 75 percent of Sand Company's common stock for $525,000…

A: When at the time of business combination if the fair value of any asset of the subsidiary company is…

Q: On July 1, 2019, Killearn Company acquired 105,000 of the outstanding shares of Shaun Company for…

A: When a corporation acquires another corporation, the accounting treatment of the invested capital or…

Q: On January 1, 2020, Palka, Inc., acquired 70 percent of the outstanding shares of Sellinger Company…

A: Journal entry: Journal entry is a set of economic events which can be measured in monetary terms.…

Q: On January 1, 2018, Brooks Corporation exchanged $1,183,000 fair-value consideration for all of the…

A: A)

Q: On January 1, 2020, Palka, Inc., acquired 70 percent of the outstanding shares of Sellinger Company…

A: Consolidated financial statements(CFS) are statements in which the financial statements of both the…

Q: Akron, Inc., owns all outstanding stock of Toledo Corporation. Amortization expense of $15,000 per…

A: An income statement is a financial statement that shows a company's income and expenses. It also…

Q: On January 2, 2019, ABC Co. acquired 80% of the outstanding common stock of Shade Co. for ₱1,344,000…

A: Consolidated financial statements are a set of financial statements prepared for a group company…

Q: ompany's net assets. P13,000 of the excess is attributed to an undervalued equipment with a…

A:

Q: On January 1, 2020, Doone Corporation acquired 60 percent of the outstanding voting stock of Rockne…

A: The question is based on the concept of Financial Accounting.

Q: On January 1, 2019, GRANGER Co. acquired 80% interest in HISTORIA, Inc. by issuing 5,000 shares with…

A: Consolidated financial statements are those statements that states the cash flows, assets, expenses,…

Q: Reuniclus Company acquired 55% of the outstanding common stock of Vanillite Company on August 1,…

A: To identify net income attributable to non controlling interest, first we should identify post…

Q: On January 1, 2021, PLDT acquired 60% of outstanding ordinary shares of Smart Inc. with a gain on…

A: On 01.01.2021, PLDT acquired = 60% of outstanding shares of Smart Inc. Purchase consideration =…

Q: , acquired 70 percent of the outstanding shares of Sellinger Company for $1,274,000 in cash. The…

A: Profits or losses gained over a period of time are referred to as net income. Cumulative net income…

Q: ClipRite (600,000) 400,000 100,000 0 $ (100,000) (850,000) (100,000) 50,000 (900,000) 300,000…

A: Inventory Costing: When organisations assign costs to things, they use inventory costing, often…

Q: On July 1, 2019, PAPA COMPANY acquired 100% of the outstanding shares of MAMA COMPANY for P200…

A: This question deals with the concept of business combination, which is dealt by the IFRS 3 . This…