Molokomme Limited acquired all the assets and liabilities of Mashiane Limited at 1 January 2016 for R195 000. The statement of financial position for Mashiane Limited was presented as follows at acquisition date: Mashiane Limited Statement of financial position as at 1 January 2016 R'000 Assets Property, plant and equipment 70 Inventory 60 Accounts receivable 40 Total assets 170 Capital and reserves Share capital 80 Retained earnings 70 Shareholders’ equity 150 Accounts payables 20 Total equity and liabilities 170 Molokomme Limited considered the fair values of the assets and liabilities of Mashiane Limited to be equal to their carrying amounts in the statement of financial position of Mashiane Limited at that date except for property, plant and equipment which was estimated at R100 000. What is the total value of assets that Molokomme Limited acquired in Mashiane Limited at 1 January 2016? Select one: a. R200 000 b. R100 000 c. R170 000 d. R150 000
Q9
Molokomme Limited acquired all the assets and liabilities of Mashiane Limited at 1 January 2016 for R195 000. The
Mashiane Limited
Statement of financial position as at 1 January 2016
|
|
R'000 |
|
Assets |
|
|
Property, plant and equipment |
70 |
|
Inventory |
60 |
|
Accounts receivable |
40 |
|
Total assets |
170 |
|
|
|
|
Capital and reserves |
|
|
Share capital |
80 |
|
Retained earnings |
70 |
|
Shareholders’ equity |
150 |
|
Accounts payables |
20 |
|
Total equity and liabilities |
170 |
Molokomme Limited considered the fair values of the assets and liabilities of Mashiane Limited to be equal to their carrying amounts in the statement of financial position of Mashiane Limited at that date except for property, plant and equipment which was estimated at R100 000.
What is the total value of assets that Molokomme Limited acquired in Mashiane Limited at 1 January 2016?
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