Page 236 - FR Integrated Workbook 2018-19

Chapter 17

Intra-group trading

3.1 Removal of intra-group balances

Loans/ Receivables/ Cash/goods

investment payables in transit

Intra-group balances PUP
must be removed adjustments

Inventory Non-
current
assets

3.2 Trading balances

 Remove both the asset and liability

 Where asset and liability are not equal, adjust for cash and/or goods in transit
before removing the balanced asset and liability

A goods in transit adjustment will require a subsequent PUP adjustment
(see below).

230