If Land and building purchased with consolidated price earlier, then now how to separate both items in Balance sheet.
Ankit Shah (CA) (34 Points)
02 October 2021If Land and building purchased with consolidated price earlier, then now how to separate both items in Balance sheet.
yasaswi gomes
(My grammar is 💯 good I)
(7290 Points)
Replied 02 October 2021
Look up at their standalone statements. Or separate parent carrying amount from subsidiary
Ankit Shah
(CA)
(34 Points)
Replied 04 October 2021
Its not consolidated statement, its Consolidated price. Rs. 1000 paid for L & B few years earlier and need to rectify and separate both values.
yasaswi gomes
(My grammar is 💯 good I)
(7290 Points)
Replied 04 October 2021
Intragroup transaction’s is not there here because, L& B purchased from outside party.
It’s a capital expense and does not depict in profit or loss statement.
This is a historic transaction
Verify bank payments from both the companies. Once you find what company paid, use prior period changes. Restate the balances and deal with any tax consequences.
Then reconsolidate again for the consequent years, with disclosures.
please let me know if it was intragroup transfers of non current assets.
LIVE Course on Foreign Exchange Management Act (FEMA)(with recording)
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