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Consolidated statement of financial position

(W5) Consolidated reserves

Retained Other
earnings components
$m $m
100% P's reserves X X
P's % of S’s post-acquisition reserves (W2) X X
Goodwill impairment* (X) –
Gain on bargain purchase (W3) X –
PURP adjustment (if P was seller) (X) –
–––– ––––
Reserves at reporting date X X
–––– ––––

* Be careful when dealing with goodwill impairment in retained earnings:

 deduct P% if the NCI was valued at fair value

 deduct in full if the NCI was valued using the proportional method

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