The following information relates to questions 22 to 24
Jacaranda Limited acquired a 75% ownership interest in Frangipani Limited on 30 June 2014. On the same day, Frangipani Limited acquired a 60% ownership interest in Gardener Limited. The following interentity transactions have taken place between the entities in the group during the years ended 30 June 2014 and 30 June 2015:
On 1 July 2013 Gardener sold an item of plant to Jacaranda for a profit of $25 000. The remaining useful life of the plant at the date of transfer was 2 years.
On 1 September 2013, Gardener paid a dividend of $100 000 from profits earned prior to 30 June 2013.
Jacaranda lent $500 000 to Gardener on 1 January 2014. Interest charged on the loan for the year ended 30 June 2014 was $20 000 and for the year ended 30 June 2015 was $40 000.
On 31 May 2014 Frangipani sold inventory to Gardener for $15 000. Profit earned on the sale was $1500. Gardener sold the inventory to external parties on 1 August 2014.
Details of profits earned by entities within the group for the years ended 30 June 2014 and 30 June 2015 are:
The tax rate is 30%.
-The NCI share of profit in the Frangipani group for the year ended 30 June 2014 is:

Question

The following information relates to questions 22 to 24
Jacaranda Limited acquired a 75% ownership interest in Frangipani Limited on 30 June 2014. On the same day, Frangipani Limited acquired a 60% ownership interest in Gardener Limited. The following interentity transactions have taken place between the entities in the group during the years ended 30 June 2014 and 30 June 2015:
On 1 July 2013 Gardener sold an item of plant to Jacaranda for a profit of $25 000. The remaining useful life of the plant at the date of transfer was 2 years.
On 1 September 2013, Gardener paid a dividend of $100 000 from profits earned prior to 30 June 2013.
Jacaranda lent $500 000 to Gardener on 1 January 2014. Interest charged on the loan for the year ended 30 June 2014 was $20 000 and for the year ended 30 June 2015 was $40 000.
On 31 May 2014 Frangipani sold inventory to Gardener for $15 000. Profit earned on the sale was $1500. Gardener sold the inventory to external parties on 1 August 2014.
Details of profits earned by entities within the group for the years ended 30 June 2014 and 30 June 2015 are:
  The tax rate is 30%.
-The NCI share of profit in the Frangipani group for the year ended 30 June 2014 is:

Quizplus · Accepted Answer

The Answer of The following information relates to questions 22 to 24
Jacaranda Limited acquired a 75% ownership interest in Frangipani Limited on 30 June 2014. On the same day, Frangipani Limited acquired a 60% ownership interest in Gardener Limited. The following interentity transactions have taken place between the entities in the group during the years ended 30 June 2014 and 30 June 2015:
On 1 July 2013 Gardener sold an item of plant to Jacaranda for a profit of $25 000. The remaining useful life of the plant at the date of transfer was 2 years.
On 1 September 2013, Gardener paid a dividend of $100 000 from profits earned prior to 30 June 2013.
Jacaranda lent $500 000 to Gardener on 1 January 2014. Interest charged on the loan for the year ended 30 June 2014 was $20 000 and for the year ended 30 June 2015 was $40 000.
On 31 May 2014 Frangipani sold inventory to Gardener for $15 000. Profit earned on the sale was $1500. Gardener sold the inventory to external parties on 1 August 2014.
Details of profits earned by entities within the group for the years ended 30 June 2014 and 30 June 2015 are:
  The tax rate is 30%.
-The NCI share of profit in the Frangipani group for the year ended 30 June 2014 is:

The Following Information Relates to Questions 22 to 24