快速查题-ACCA英国注册会计师试题

Fanta Co acquired 100% of the ordinary share capital of Tizer Co on 1 October 20X7.

On 31 December 20X7 the share capital and retained earnings of Tizer Co were as follows:

                                                                                       $'000

Ordinary shares of $1 each                                              400 

Retained earnings at 1 January 20X7                              100

Retained profit for the year ended 31 December 20X7     80

                                                                                          580

The profits of Tizer Co have accrued evenly throughout 20X7. Goodwill arising on the acquisition of Tizer Co was $30,000.

What was the cost of the investment in Tizer Co?

Evergreen Co owns 35% of the ordinary shares of Deciduous. What is the correct accounting treatment of the revenues and

costs of Deciduous for reporting period in the consolidated statement of profit or loss of the Evergreen group?

 Mercedes Co has owned 100% of Benz Co since incorporation. At 31 March 20X9 extracts from their individual statements of financial position were as follows.

Mercedes Co Benz Co          $             $

Share capital                    100,000      50,000

Retained earnings            450,000     120,000

                                         550,000      170,000

During the year ended 31 March 20X9, Benz Co had sold goods to Mercedes Co for $50,000. Mercedes Co still had these

goods in inventory at the year end. Benz Co uses a 25% mark up on all goods.

What were the consolidated retained earnings of Mercedes Group at 31 March 20X9?

Micro Co acquired 90% of the $100,000 ordinary share capital of Minnie Co for $300,000 on

1 January 20X9 when the retained earnings of Minnie Co were $156,000. At the date of acquisition the fair value of plant held by Minnie Co was $20,000 higher than its carrying amount. The fair value of the non-controlling interest at the date of acquisition was $75,000.

What is the goodwill arising on the acquisition of Minnie Co?

On 1 April 20X7 Possum Co acquired 60% of the share capital of Koala Co for $120,000. During the year Possum Co sold

goods to Koala Co for $30,000, including a profit margin of 25%. 40% of these goods were still in inventory at the year end.

The following extract was taken from the financial statements of Possum Co and Koala Co at 31 March 20X8.

                                          Possum Co $'000               Koala Co

Revenue                                750                                 $'000 400

Cost of sales                        (420)                                 (100)

Gross profit                             30                                    300

What is the consolidated gross profit of the Possum group at 31 March 20X8?

A company sold warehouse premises at a loss during a financial period. How would this transaction be included in a statement of cash flows for the period that complies with IAS 7 Statement of Cash F/ows and that uses the indirect method to present

cash flows from operating activities?

Loss on disposal              Proceeds from sa/e in cash flows from

 Big Time Co had the following transactions during the year.

• Purchases from suppliers were $18,500, of which $2,550 was unpaid at the year end. Brought forward payables were

$1,000.

• Wages and salaries amounted to $9,500, of which $750 was unpaid at the year end. The financial statements for the

previous year showed an accrual for wages and salaries of $1,500.

• Interest of $2,100 on a long term loan was paid in the year.

• Sales revenue was $33,400, including $900 receivables at the year end. Brought forward receivables were $400.

• Interest on cash deposits at the bank amounted to $175.

Using the direct method, what is Big Time Co's cash flow from operating activities?

Which one of the following statements is correct?

 Toots Co has made healthy profits for the past year, although at times the company has been close to running out of cash.

Because Toots Co is profitable, Adam, their accountant is unconcerned by the cash shortage. Jo, the financial controller at

Toots Co, is concerned. Jo tells Adam, ‘profits are fine on paper, but in the real world cash is king’. Jo believes Toots Co

needs to take a more proactive approach to cash flow management.

Adam and Jo have two different views. Who is correct, and why?

Which one of the following statements correctly identifies a valid disadvantage to users of financial statements of the sta

tement of cash flows?