Page 75 - Finac2 Test 1 Slides - 3. Intra-Group Transactions

CONSOLIDATIONS AFTER THE DATE OF ACQUISITION

Solution

COMMENT

• Note that the investment in Minnie Ltd was only carried at

R140 000 in the trial balance of Mickey Ltd, which thus

indicates that the share issue, the contingent consideration
and the acquisition costs have not yet been recorded in the

records of Mickey Ltd.

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