Lanark Ltd is stationary retail business in the Melbourne market. Recently, Lanark Ltd expand the market to office equip
Posted: Thu May 26, 2022 8:10 am
Lanark Ltd is stationary retail business in the Melbourne
market. Recently, Lanark Ltd expand the market to office equipment
market and decided to take over Shibuca Ltd, one of medium size
business specialize in renting office equipment.
The acquisition consisted in Lanark Ltd acquiring the 100% of
Shibuca Ltd shares for a consideration of $600,000 on 1 July
2021.
At that date of the statement of financial position of Shibuca
Ltd is as follows:
Statement of financial position 1
July 2021
Cash
15,000
Loans
300,000
Account receivables
45,000
Account payables
20,000
Inventory
90,000
Buildings
405,000
Share Capital
300,000
Plant
150,000
Retained Earnings
85,000
Moreover, you have this additional information on the
company:
REQUIRED
market. Recently, Lanark Ltd expand the market to office equipment
market and decided to take over Shibuca Ltd, one of medium size
business specialize in renting office equipment.
The acquisition consisted in Lanark Ltd acquiring the 100% of
Shibuca Ltd shares for a consideration of $600,000 on 1 July
2021.
At that date of the statement of financial position of Shibuca
Ltd is as follows:
Statement of financial position 1
July 2021
Cash
15,000
Loans
300,000
Account receivables
45,000
Account payables
20,000
Inventory
90,000
Buildings
405,000
Share Capital
300,000
Plant
150,000
Retained Earnings
85,000
Moreover, you have this additional information on the
company:
REQUIRED