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Preference share capital in subsidiary (irredeemable)Investment in preference shares does not lead to ownership and therefore, if the holding company owns part of the preference share capital in subsidiary company then, the percentage will not be the basis of consolidation.However, the asset of investment in preference shares and the percentage of preference shares acquired will still be used to compute goodwill arising on consolidation.The other balance sheet is due to the minority interest and will thus be included as part of total due to minority interest or posted to credit side of minority interest account.
Determine the accounting aspects of business Accounting scandals can have a profound effect on all those connected with business. Enron scandal, for instance, ultimately led t
In the context of the public sector, discuss incremental system of budgeting and evaluate their strengths and weaknesses
DELEGATION A trustee cannot deleget unless: 1. It is necessary or in the ordinary course of administration; or 2. Authorised by the trust instrument; or 3. Authorise
Illustration regarding profit that head office can claim E Ltd sets up a branch in Nyeri on 1 July 2001. Goods are sent to branch at an invoice price which is 10% above cost. S
URL services has two divisions. Basic webpages and custom webpages. Ricky Vega, Custom's manager wants to find out why Custom is not profitable. He has prepared the following repor
liabilities and its types
1. Will implementing SAP R/3 across the entire PCD division provide the division with a competitive advantage? Justify your answer carefully. 2. The Raleigh team promised IBM c
AskA of Surat consign goods to B of Jaipur to be sold at or above invoice price. B is entiled to get a commission of 8% on sales at invoice price plus 25% of any surplus price real
Retirement of a partner When one of the partners retires ante the others will continue trading, the n it is important that he gets a share of the goodwill that he helped create i
Combined income statement The figures to appear in the combined income statement are based on the following diagram: 1) An arrow pointing into a box refers to purchase
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