Hi can you help me find the intragroup transaction for the following:
the acquisition date is on the 1 July 2016.
On 1 March 2018, Son Ltd sold equipment to Parent Ltd for $55 000, this asset having a carrying amount at the time of sale of $60,000. Son Ltd had treated the asset as a depreciable non-current asset, being depreciated at 10% on cost, whereas Parent Ltd records the equipment as inventory. Parent Ltd sold this asset to Beanie Ltd on 15 June 2018 for $61,500.
First you need to understand the intragroup sale results in... View the full answer
- I hope you find this helpful.
- Oct 01, 2018 at 12:47pm
- Clarification; The sale by Parent to Beanie Ltd is not part of intragroup transactions therefore recorded normally by the parent.
- Oct 01, 2018 at 12:50pm