On July 1 20X5,Helios Ltd acquired all of the share capital of Havers Pty Ltd (100,000 shares)for $10 per share.Immediately subsequent to acquisition,the directors of Havers Ltd declared and paid a dividend of $60,000 from the retained earnings at June 30 20X5.During the year ended June 30 20X6,Helios Ltd received an interim dividend of $40,000 from Havers Ltd and the directors of Havers Ltd declared a final dividend of $60,000.At the date of acquisition,July 1 20X5,the shareholders' equity of Havers Ltd was (amounts in thousands): At the date of acquisition,the carrying amounts of the net assets of Havers Ltd approximated fair value.If a consolidated balance sheet were to be prepared for Helios Ltd and its subsidiaries at the date of acquisition,the consolidation adjustment to eliminate the investment in the subsidiary would be:
D) none of the above

Question

On July 1 20X5,Helios Ltd acquired all of the share capital of Havers Pty Ltd (100,000 shares)for $10 per share.Immediately subsequent to acquisition,the directors of Havers Ltd declared and paid a dividend of $60,000 from the retained earnings at June 30 20X5.During the year ended June 30 20X6,Helios Ltd received an interim dividend of $40,000 from Havers Ltd and the directors of Havers Ltd declared a final dividend of $60,000.At the date of acquisition,July 1 20X5,the shareholders' equity of Havers Ltd was (amounts in thousands):  At the date of acquisition,the carrying amounts of the net assets of Havers Ltd approximated fair value.If a consolidated balance sheet were to be prepared for Helios Ltd and its subsidiaries at the date of acquisition,the consolidation adjustment to eliminate the investment in the subsidiary would be:
D) none of the above

Quizplus · Accepted Answer

The Answer of On July 1 20X5,Helios Ltd acquired all of the share capital of Havers Pty Ltd (100,000 shares)for $10 per share.Immediately subsequent to acquisition,the directors of Havers Ltd declared and paid a dividend of $60,000 from the retained earnings at June 30 20X5.During the year ended June 30 20X6,Helios Ltd received an interim dividend of $40,000 from Havers Ltd and the directors of Havers Ltd declared a final dividend of $60,000.At the date of acquisition,July 1 20X5,the shareholders' equity of Havers Ltd was (amounts in thousands):  At the date of acquisition,the carrying amounts of the net assets of Havers Ltd approximated fair value.If a consolidated balance sheet were to be prepared for Helios Ltd and its subsidiaries at the date of acquisition,the consolidation adjustment to eliminate the investment in the subsidiary would be:
D) none of the above

On July 1 20X5,Helios Ltd Acquired All of the Share