Deal of The Day! Hurry Up, Grab the Special Discount - Save 25% - Ends In 00:00:00 Coupon code: SAVE25
Welcome to Pass4Success

- Free Preparation Discussions

CIMA Exam CIMAPRA19-F02-1 Topic 5 Question 100 Discussion

Actual exam question for CIMA's CIMAPRA19-F02-1 exam
Question #: 100
Topic #: 5
[All CIMAPRA19-F02-1 Questions]

On 1 January 20X1KL acquired 75% of the equityshares of PQ. Goodwill arising on the acquisition was $480,000. On 31 December 20X3 KLsold the full investment of PQ to XY Groupfor $2,000,000. On this date the net assetsof PQ were $1,340,000 and the non-controlling interests stood at $410,000.

What is the gain on disposal to be recognised in the consolidated statement of profit or loss of KL?

Show Suggested Answer Hide Answer
Suggested Answer: A

Contribute your Thoughts:

Yolande
4 days ago
I'm not sure, but I think the gain on disposal is $635,000.
upvoted 0 times
...
Amie
6 days ago
I disagree, I believe the gain on disposal is $660,000.
upvoted 0 times
...
Quentin
7 days ago
I think the gain on disposal should be $590,000.
upvoted 0 times
...

Save Cancel