17. Group Accounts

Question 1

Consol: Disposals: Calculation: P’s accounts

Answer 1

Sale proceeds

MINUS

CA of shares sold
(I.e. cost)

Question 2

Consol: Disposals: Where disclosed on the P’s FS?

Answer 2

Exceptional item
Separately
After operating profit

Question 3

Consol: Disposals: How are disposals classified? (By IFRS)

Answer 3

Discontinued operations

Question 4

Consol: Disposals: Where is the disposed of company shown in the SFP?

Answer 4

Nowhere

(Because sold)

Question 5

Consol: Disposals: Where is the disposal shown on the P&L?

Answer 5

‘Profit/loss from discontinued operations’

Question 6

Consol: Disposals: ‘Profit/loss from discontinued operations’: Calculation

Answer 6

100% S’s results until disposal

PLUS

Gain/loss on disp

Question 7

Consol: Disposals: What is the treatment in the SOCE?

Answer 7

Eliminate the NCI

Question 8

Consol: Disposals: ‘Gain/loss on disposal’ calculation?

Answer 8

1. Proceeds

MINUS

2.a. GW CA (Working)

MINUS

2.b. NA CA (Working)

PLUS

3. NCI

Question 9

Consol: Disposals: ‘Gain/loss on disposal’: GW CA calculation

Answer 9

1. Consideration transferred

PLUS

2. NCI at acq

MINUS

3. 100% NA at acq

PLUS

4. GW at acq

MINUS

5. Imp up to disp

Question 10

Consol: Disposals: ‘Gain/loss on disposal’: Carrying amount of NA at date of disposal: Calculation

Answer 10

1. NA b/f

PLUS

2. Profit/loss up to disp

MINUS

3. Divs paid up to disp