Question

Jabba Ltd acquired a 70 per cent interest in Han Ltd on 30 June 2022 for...

Jabba Ltd acquired a 70 per cent interest in Han Ltd on 30 June 2022 for $2 000 000. On the same date, Han Ltd acquired a 60 per cent interest in Leia Ltd for a cash consideration of $1 600 000. The purchase price represents the fair value of consideration transferred for both investments. The share capital and retained earnings at the date of acquisition are as follows:

Han Ltd Leia Ltd
Share capital 2 000 000 1 600 000
Retained earnings 600 000 800 000
Total 2 600 000 2 400 000

What is the non-controlling interest in Han Ltd and Leia Ltd, respectively, on the date of acquisition using the partial goodwill method? (Round to the nearest dollar.)

Homework Answers

Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
Green Ltd purchased 80 per cent of the issued capital of Maroon for consideration of $4...
Green Ltd purchased 80 per cent of the issued capital of Maroon for consideration of $4 000 000 and in the process gained control over Maroon Ltd on 1 July 2015. The fair value of the net assets of Maroon Ltd at purchase was represented by: Share capital 3 220 000 Retained earnings 740 000 Total 3 960 000 At acquisition date all the identifiable assets and liabilities of Maroon Ltd were recorded at amounts equal to fair value. At...
On 1 March 2016 Sunshine Ltd acquired 80% of the issued share capital of Macbeth Ltd...
On 1 March 2016 Sunshine Ltd acquired 80% of the issued share capital of Macbeth Ltd for consideration of £444,000. The following information has been extracted from the statement of financial position of Macbeth Ltd on the date of acquisition: Share capital Share Premium Retained profits £ 200,000 80,000 74,000 The following information is available: (1) Included in Macbeth Ltd’s statement of financial position on the date of acquisition was land at cost of £35,000. Land is not depreciable. The...
On 1 July 2017, Max Ltd acquired 90% all the issued shares of Jay Ltd for...
On 1 July 2017, Max Ltd acquired 90% all the issued shares of Jay Ltd for $240 000. At this date the equity of Jay Ltd consisted of Share capital of $80 000, Retained earnings of $60 000, and General Reserve of $40 000. All the identifiable assets and liabilities of Jay Ltd were recorded at amounts equal to fair value. On 30/6/2019 the equity accounts consisted of Share capital of $80 000, Retained earnings of $70 000, and General...
On 1 July 2017, Max Ltd acquired 90% all the issued shares of Jay Ltd for...
On 1 July 2017, Max Ltd acquired 90% all the issued shares of Jay Ltd for $240 000. At this date the equity of Jay Ltd consisted of Share capital of $80 000, Retained earnings of $60 000, and General Reserve of $40 000. All the identifiable assets and liabilities of Jay Ltd were recorded at amounts equal to fair value. On 30/6/2019 the equity accounts consisted of Share capital of $80 000, Retained earnings of $70 000, and General...
On 1 July 2019, Alpha Ltd acquired 80% of the shares (ex div.) of Beta Ltd...
On 1 July 2019, Alpha Ltd acquired 80% of the shares (ex div.) of Beta Ltd for $285 000. The NCI owns the remaining 20% of the shares in Beta Ltd. At this date the shareholders’ equity of Suburb Ltd consisted of: Share capital $150 000 Retained earnings 75 000 General reserve 60 000 At this date, all the identifiable assets and liabilities of Suburb Ltd were recorded at amounts equal to their fair values except for the following: Carrying...
On 31 December 20x8, M Ltd paid $300,000 to acquire 80% interest of N Ltd when...
On 31 December 20x8, M Ltd paid $300,000 to acquire 80% interest of N Ltd when the fair value of N Ltd’s net assets was represented by share capital of $100,000 and retained profit of $100,000, except for N Ltd’s freehold land which was carried at $100,000 but deemed to have a fair value of $150,000. On this date, N Ltd’s share capital comprised 100,000 ordinary shares with a fair value of $2.60 per share. Assuming the group policy of...
On 1 July 2022, Dean Ltd acquired the remaining 80% of the issued shares of Lewis...
On 1 July 2022, Dean Ltd acquired the remaining 80% of the issued shares of Lewis Ltd for shares in Dean Ltd with a fair value of $1 000 000. At that date, the financial statements of Lewis Ltd showed the following information. All the assets and liabilities of Lewis Ltd were recorded at amounts equal to their fair values at the acquisition date, except some equipment recorded at $50 000 below its fair value with a related accumulated depreciation...
In the year ended 30 June 2019, Jane Ltd acquired all of the issued shares of...
In the year ended 30 June 2019, Jane Ltd acquired all of the issued shares of Thomas Ltd for $231 300 on a-cum-div. basis. Information about the two companies at 1 July 2019 included the following. The equity of Thomas Ltd at 1 July 2019 consisted of $144 000 share capital and $36 000 retained earnings. Included in the assets and liabilities recorded by Thomas Ltd at 1 July 2019 were goodwill of $5400 and dividend payable of $4500. On...
MP Ltd acquired 80% of TB Ltd for $160 million on 20/09/15. At this time Fair...
MP Ltd acquired 80% of TB Ltd for $160 million on 20/09/15. At this time Fair Value of consideration was: Share Capital: 75,000,000 Retained Earnings 22,200,000 General Reserves 72,800,000 On 31/3/16, MP Ltd acquired a further 7.5% for $13,000,000. Required: a) Prepare journal entries to recognise the acquisition on 20/09/15 b) Determine the total Non-controlling interest on 20/09/15. c) Journalise the event that occurred on 31/03/16 and the Non-controlling interest journal for 31/03/16. (3 + 2 marks)  
On 1 July 2014 Padma Ltd acquires 25 per cent of the issued capital of Jamuna...
On 1 July 2014 Padma Ltd acquires 25 per cent of the issued capital of Jamuna Ltd for a cash consideration of $360 000. At the date of acquisition, the shareholders’ equity of Jamuna Ltd is: Share capital $450 000 Retained earnings $300 000 Total shareholders’ equity 750 000 Additional information • On the date of acquisition, buildings have a carrying amount in the accounts of Jamuna Ltd of $240 000 and a market value of $300 000. The buildings...
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT