Master Question on Consolidated Balance Sheet with All

Adjustments
Following is the Balance sheet of Holding Ltd. and Subsidiary Ltd. as on 31st March
20X3:
- - -

PARTICULARS
O HOLDING
LTD.
SUBSIDIARY
LTD.
without
Bare
Equity and Liabilities
↳
Equity Share Capital (10/- Each) 12,00,000 10,00,000
O G
-

3,00,000 mIt
-

Preference Share Capital (10/- Each) 5,00,000

Reserves and Surplus
General Reserve 7,50,000 6,00,000
Profit and Loss A/c 6,00,000 4,50,000

-
10% Debentures
O
⑧ Go
18,00,000 12,00,000

Trade Creditors 9,00,000 5,00,000

Bills Payables - H
& -

4,00,000 1,50,000
61,50,000 42,00,000

Assets
Land and Building 13,50,000 6
17,00,000
Plant & Machinery - 8,20,000 -
12,00,000
Goodwill 1,00,000 -
Investments:
Equity Shares of Subsidiary Ltd. 15,00,000 -
-Grant
-

10% Debentures of Subsidiary Ltd. (30%

Debentures)
-
- O 3,00,000 -

Trade Debtors 10,00,000 6,00,000

90000- -
-

Bills Receivables 2,80,000 2,00,000

Inventory 5,00,000 4,00,000
Cash and Cash Equivalents 3,00,000 -
-
1,00,000
-
-

61,50,000 42,00,000

Other Relevant Information:

-
Food > 100
1. Investments were purchased on 1st July of 20X2. 100000
⑳
-

2. Holding Ltd. purchased 75,000 Equity Shares.

3. Balances of Reserves and Surplus of Subsidiary Ltd. on 1st April 20X2 are:
-

. General Reserve - 2,10,000

-

. Profit and Loss A/c - 1,50,000

O
2. On 1st August Dividend is Paid by subsidiary @ 12% on Equity Share Capital.
-

- -

Amount received by Holding is correctly recorded in the books

- -

3. There is an Abnormal loss of Rs. 15,000 in the month of October

- -
-

CONSOLIDATION MASTER QUESTION MADE BY CA. JAI CHAWLA

 4. Market Value of Land & Building on 1st July 20X2 was 22,00,000 and Depreciation
- -
is 15%.
5.
-

- 6. In the month of January 20X3, Goods sold by Holding Ltd. having Cost of Rs.
oo
--
- -

2,50,000 at Rs. 3,00,000. 60% of such goods are unsold and laying with Subsidiary.
-

7. In the month of March 20X3, Goods costing Rs. 1,25,000 sold by subsidiary at
- - - &

20% Profit on Sales. Out of which, goods of 50,000 (sales value) are unsold with
- - -

Holding.
-

in
whose entry is not yet passed.
-
G
8. On 31st March, Subsidiary Ltd. has issued Bonus Equity Shares in the ratio of 1:5,

- 9. All Bills Payable of S Ltd. are accepted in favour of H Ltd. However H Ltd. has
⑧
- -
-

Already discounted 40% of those Bills from Bank

-
-

10. Trade Creditors of S Ltd. includes 40,000 payable to H Ltd. but Trade Debtors
-

- - --
of H Ltd. includes 50,000 receivable from S Ltd. The difference can be treated
-
-

as Cash in Transit.
-

PREPARE CONSOLIDATED FINANCIAL STATEMENT ALONG WITH PROPER

WORKING NOTES

CONSOLIDATION MASTER QUESTION MADE BY CA. JAI CHAWLA

 Consolidation Master
problem
-

&) Subs Deb issued 8 Holding Defh

Inse
offset
Difference - Cars Bas .

Yulx2 DOA
48 %0 3.13/x3
775 /- %

I I D
'Alosis ↑
1171x2I
s
GRE 210000 GR = 600, 000

paid (PY)

↓
Pal = 150
, 000 PE = 450000

(PreA(g)
120000

NV 2200000

e
CA. JAI CHAWLA (FCA, M.COM, DISA, IFRS) (7887 7887 05) Page | 100
 30000 Unrealised element
profit >
-

Cars Ras

Stace
10000 Unrealised profit >
-

Hop
↓
post
CaterTad)
&
Stock
Bau = 200000
~T
preff ess with
Barus
always

Common => 90000 offset

Debts

CA. JAI CHAWLA (FCA, M.COM, DISA, IFRS) (7887 7887 05) Page | 100
 WN-1
-
AOP ! -

Particular Preteg Post Heg Bl

Gr pal

Bal OFGR .
000 390
210
, 000
0 -

600
Bal of por 150000 -

300000 45000
Es Bacus (200000) -
- -

(f) A . Loss - - 15000

Divd 120000
Is
- -

Bal #0000
390000435000

#) Tad ;
3 month 206650(9750% 10875)
9) A .
205 -
-

(5000)
() Divd (20000) -
-

El) Revaluation 275000 -

(2500
() Unrealised
profit
- -

(000
Cupstream)
#9250
551250 278750

CA. JAI CHAWLA (FCA, M.COM, DISA, IFRS) (7887 7887 05) Page | 100
 H 75% 390938 (19375 209062

M/1 25 1 ·
130312
G
7312569688

-
WN
-
. 2
-
COC :-

Erectments =
1500000

(
rop N Ass .
.

ess 75:.
(900000
Goodwill-3093
pre Heg

WN-3
-
-

Est 25% = 300000

130312
peacg
=

142813
Post -

(100 1) puefs.

. - 300000
cap
53125
-

CA. JAI CHAWLA (FCA, M.COM, DISA, IFRS) (7887 7887 05) Page | 100
 -Y
-
Cars . RES
-
-

-Par
Bal With H 6000
750000
.

#) Post Geg
Profit 21937x 209062
Share
(7 Unrealised -

[30000)
profit
(f) Set off -
6000
Desn

⑳75 839062 =
1808457

Cone. st

I
Ess 1200000

ps 500000
Car Ras .
1808437

M/2 873125

10 % Down (18 + 12 -
3 .

) 2640000

CA. JAI CHAWLA (FCA, M.COM, DISA, IFRS) (7887 7887 05) Page | 100
 I
Creditors H 900
0 00
,
1360000
S Joo

[ Offset 000
Blp
400,000
150000
460000

> Crea %
%
841562
-

CGB

I
13500 000
3302500
1700000

(Gain 275
, 000

It add
22500)

Pam 2020000
-

Goodwill H100
000
, 309062
S 209062
-

1000000 1550000
Desters 600000

50000
CA. JAI CHAWLA (FCA, M.COM, DISA, IFRS) (7887 7887 05) Page | 100
 I
BIR 1s
280000
390000
200000

()90000)
Enventory Is
500000 860000
Yor
1000)
6) Up
↳
0000

/1000
CaCF
- 400000
+ 100
-

CA. JAI CHAWLA (FCA, M.COM, DISA, IFRS) (7887 7887 05) Page | 100