Page 507 - Microsoft Word - 00 CIMA F1 Prelims STUDENT 2018.docx

Answers

You are also given the following information:
(1) Tom acquired its shares in James on 1 January 20X0 when James had a
debit balance in retained earnings of $56,000.
(2) Tom acquired its shares in Emily on 1 January 20X0 when Emily had
retained earnings of $140,000.

(3) An impairment test at the year-end shows the goodwill for James remains
unimpaired but the investment arising on the acquisition of Emily has
impaired by $2,800.

(4) NCI should be calculated using the proportion of net assets method.
Required:
Prepare the consolidated statement of financial position for the year
ended 31 December 20X0.

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