Q#6 Accounting For Associates IAS 28
The summarized balance sheets of three companies at December 31, 2015 were as follows:
A ltd
B ltd
C ltd
Rs.
Rs.
Rs.
Share capital
500,000
200,000
150,000
P & L a/c
150,000
50,000
30,000
Current liabilities
150,000
150,000
70,000
Total
800,000
400,000
250,000
Fixed assets
300,000
200,000
100,000
Investments
70% in B ltd
250,000
60% in C ltd
150,000
Current assets
250,000
50,000
150,000
Total
800,000
400,000
250,000
i.
A ltd acquired 70% shares in B ltd two years ago when there was a credit balance of
Rs. 10,000 in B's P&L a/c.
ii.
B ltd acquired 60% of shares in C ltd on January 1, 2015 when there was a debit
balance in its P&L a/c of Rs.15,000.
Required: Prepare consolidated balance sheet of the group.