CSPL Flashcards
1
Q
What is the treatment for a mid year acquisition?
A
Pro rate the profit and expenses for the year
2
Q
What is the treatment for inter-group trading?
A
Dr sales of seller
Cr COS of purchaser
3
Q
What is the treatment for inventory PURP?
A
Dr cos of seller
Cr inventory of purchaser
4
Q
What is the treatment for NCA PURP?
A
Dr profit from the seller’s consol schedule
Cr asset value
Cr expense extra dep exp from sale
Dr asset extra dep exp from sale
5
Q
What is the treatment for impairment of proportionate method NCI?
A
Dr entire charge in the parent’s column
Cr asset in SOFP
6
Q
What is the treatment for impairment of FV method NCI?
A
Dr owned % (e.g. of sub/assoc) x charge, in the parent’s column
Dr other amount of impairment in sub column
Cr asset in SOFP
