Page 489 - SBR Integrated Workbook STUDENT S18-J19

Answers

Example 1 – continued

(W8) Forex on opening net assets and profit

DNm Rate $m

Opening net assets 180 3.8 47.4
Profit 60 3 20.0

Forex gain Bal. fig. 52.6
–––– ———

Closing net assets 240 2 120.0
–––– ———

The forex gain is allocated between the group and NCI:

Group: 80% × $52.6m = $42.1m

NCI: 20% × $52.6m = $10.5m

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