X Ltd., acquired all the shares of Y Ltd., on 1/1/2010.

From the Balance sheet given below prepare the a Consolidated Balance Sheet:
Liabilities X Ltd Y Ltd. (Rs) Assets X Ltd Y Ltd. (Rs)
(Rs) (Rs)
Share capital:
Shares of Rs.10 each 8,00,000 3,00,000 Land & Building 4,00,000 2,70,000
Creditors 3,50,000 1,60,000 Plant & Machinery 2,00,000 1,00,000
Bills payable 40,000 20,000 Furniture & Fixtures 50,000 20,000
Reserves on 1/4/2009 2,10,000 40,000 Investment in Shares of Y Ltd.
5,00,000 -
Profit & Loss A/c 50,000 30,000 Stock 1,50,000 80,000
Sundry Debtors 1,00,000 60,000
Bank Balance 50,000 20,000
14,50,000 5,50,000 14,50,000 5,50,000
The Profit and Loss A/c of Y Ltd., had a credit balance of Rs.6,000 on 01/04/2009.

2.

Prepare Consolidated Balance Sheet in the Books of H Co. Ltd. form the following Balance sheet of H co. and S Co. and given
information:
Liabilities H Co. Rs. S Co. Rs. Assets H Co. Rs. S Co. Rs.
Preference Share capital 1,00,000 40,000 Goodwill 20,000 10,000
Equity share capital (Rs. 100 11,00,000 2,00,000 Machinery 6,00,000 1,80,000
per share)
Reserves 4,00,000 1,50,000 Furniture 1,00,000 34,000
Profit & loss a/c 2,00,000 50,000 Investments 1,600 shares in S Co. 3,20,000 --- --- --
Creditors 3,00,000 1,00,000 Other assets 10,60,000 3,46,000
Proposed dividend ---- -- -- 40,000 Discount on issue of shares --- ---- -- 10,000
21,00,000 5,80,000 21,00,000 5,80,000
Information:
a) On the date of acquisition of shares by H Co. reserves and profit and loss account of S company stood at Rs. 50,000 and Rs. 30,000
respectively.
b) Machinery (Book value Rs. 2,00,000) was revalued at Rs. 3,00,000 & furniture (Book value Rs. 40,000) was revalued at Rs. 30,000 of S
Co. by H Co.
c) S Co. made a bonus issue during the year out of pre-acquisition profits for Rs. 40,000 not recorded in the books.
d) Included in the creditors of S Co. is Rs. 20,000 for goods supplied by H Co. also included in the stock of S Co. are goods to the value of
Rs. 8,000 which were supplied by H Co. at a profit of 25% on sales.

3.

When H ltd, purchased 24,000 equity shares in S ltd, on 1-1-2011, S ltd, had Rs. 22,500 in general reserve and Rs. 37,500 (Dr) in profit
and loss account. From their Balance sheet on 31-3-2011 as below, prepare Consolidated Balance Sheet.
Liabilities H Ltd S Ltd. Assets H Ltd S Ltd.
Fully paid equity shares of Rs. 7,50,000 3,00,000 Fixed assets 6,75,000 1,50,000
10 each
General reserve 90,000 7,500 Current assets 1,20,000 1,21,500
P/ L A/c 60,000 - Investment in S Ltd. 2,10,000 -
Creditors 1,05,000 31,500 P/L A/c - 67,500

10,05,000 3,39,000 10,05,000 3,39,000

Fixed assets standing in the books of S td, at Rs. 90,000 were considered worth Rs. 75,000 on the date of purchase of control for the
purpose of determining the value of shares; 20% depreciation has been written off since acquisition. Stock of H ltd includes Rs. 30,000 on
which S ltd, made Rs. 7,500 profit.

4.
The Balance Sheet of H Co, and its subsidiary S Co, as on 31st March 2010 are as follows.
Liabilities H Ltd S Ltd. Assets H Ltd S Ltd.
Preference Share Capital 1,00,000 - Land 3,56,000 70,000
Fully paid equity shares of Rs. 5,00,000 1,50,000 Properties 3,76,000 40,000
100 each
General reserve 3,40,000 6,000 Plant & Machinery 1,40,000 91,300
Investment in 1,200 shares in S Co, on 1,80,000 -
P/ L A/c 3,60,000 1,08,000 1/4/2009
Creditors 1,00,000 44,150 Stock 1,36,000 50,600
Bills payable - 24,150 Debtors 2,12,000 80,400
14,00,000 3,32,300 14,00,000 3,32,300
Other Information:
a) On 1-4-2009 P/L a/c of S Co. stood at Rs. 77,500 and General Reserve Rs. 3,000. Also H Co. revalued plant and Machines of S Co. at
the time of purchase of shares by Rs. 20,000 more than its book value.
b) Stock of H Co. includes Rs. 8,000 of stock at cost purchased from S Co. Further Debtors of S Co. includes Rs. 24,000 for sales to H Co.
on which S Co made a profit of Rs. 6,000.
d) S Co made a bonus issue during the year out of pre-acquisition profit for Rs. 60,000 not recorded in the books.
Prepare consolidated Balance Sheet.

5,

The following are the Balance Sheet of H ltd., and its subsidiary S Ltd., as at 31st March 2012.
Liabilities H Ltd S Ltd. Assets H Ltd S Ltd.
Fully paid equity shares of Rs. 6,00,000 2,00,000 Machinery 3,90,000 1,35,000
10 each
General reserve 3,40,000 80,000 Furniture 80,000 40,000
P/ L A/c 1,00,000 60,000 80% shares in S ltd., 3,40,000 -
Creditors 70,000 35,000 Stock 1,80,000 1,20,000
Debtors 50,000 30,000
Cash in hand 70,000 50,000
11,10,000 3,75,000 11,10,000 3,75,000
The following additional information is provided to you:
a. Profit and loss a/c of S ltd. Stood at Rs. 30,000 on 1st April 2011 whereas general reserve has remained unchanged since that date.
b. H Ltd. Acquired 80 % of the shares in S ltd. On 1st October 2011 for Rs. 3,40,000.
c. Included in Debtors of S ltd. is a sum of Rs. 10,000 due to H ltd, for goods sold at a profit of 25% on cost price. Till 31st march 2012
only one half of the goods had been sold while the remaining goods were lying in the stores of H ltd, as on that date.
You are required to prepare the consolidated Balance sheet of H ltd.

6.

The following are the Balance Sheet of H ltd., and its subsidiary S Ltd., as at 31st December 2011.
Liabilities H Ltd S Ltd. Assets H Ltd S Ltd.
Fully paid equity shares of Rs. 2,50,000 50,000 Goodwill - 5,000
5 each
General reserve 25,000 10,000 Building 50,000 17,500
P/ L A/c 12,500 16,000 Machinery 1,50,000 30,000
Creditors 22,500 6,000 Shares in S Ltd. 42,500 -
Bills payable 15,000 3,000 Stock 50,000 15,000
Debtors 30,000 6,000
Bills receivable - 9,000
Cash in hand 2,500 2,500
3,25,000 85,000 3,25,000 85,000
 The H ltd. Purchased 7,500 shares in S ltd, on 1.7.2010. The balance to the general reserve and profit and loss A/c of S ltd stood at Rs.
6,000 and Rs. 4,000 respectively on 1-1-2010. The B/R of S ltd, Rs. 9,000 is accepted by H ltd. The Debtors of S Ltd., Rs. 2,000 due from
H ltd. Prepare consolidated Balance Sheet of H Ltd.

7.

The Balance Sheet of R Ltd. and K Ltd., on 31st March 2011 were as follows:
Liabilities R Ltd. K Ltd. Assets R Ltd. K Ltd.
10% Preference shares of Rs. -- 1,00,000 Land & Building at cost 3,10,000 1,60,000
100 each
Equity shares of Rs. 100 each 10,00,000 4,00,000 Machinery less 10% depreciation 2,70,000 1,35,000
General reserves 1,00,000 50,000 3,000 shares in K Ltd. 4,50,000 --
Profit and loss a/c bal on 40,000 30,000 Stock at cost 2,20,000 1,50,000
1.4.2010
Profit & loss 2,00,000 80,000 Sundry debtors 1,55,000 90,000
2010-11
Creditors 1,50,000 70,000 Cash & bank 85,000 1,95,000

14,90,000 7,30,000 14,90,000 7,30,000

R ltd., acquired 3,000 equity shares in K. Ltd., on 1st October 2010. As on the date of acquisition, R Ltd., found that the value of Land and
Building and Machinery of K Ltd., should be Rs. 1,50,000 and Rs. 1,92,500 respectively.
Prepare consolidated Balance Sheet of R Ltd., as on 31st March 2011.

8.

The Summarized Balance Sheet of A Ltd, and its Subsidiary B Ltd, on 31st December 2007 were as follows:
Liabilities A Ltd B Ltd. Assets A Ltd B Ltd.
Shares of Rs. 100 each 3,00,000 - Fixed assets 1,50,000 1,44,700
Shares of Rs. 10 each - 1,00,000 Investments in B ltd. at cost 1,70,000 -
Capital reserve - 55,000 Stock 40,000 20,000
General reserve 30,000 5,000 Loan to A ltd. - 2,000
P/ L A/c 38,200 18,000 B/R (including Rs. 200 from B ltd) 1,200 -
Loan from B Ltd, 2,100 - Debtors 27,000 20,000
Bills payable(include Rs. 500 - 1,700
to A ltd)
Creditors 17,900 7,000
3,88,200 1,86,700 3,88,200 1,86,700
Other Information:
There is a contingent liability of Rs. 1,000 for bills discounted given by way of a note to Balance Sheet of A ltd. A Ltd, acquired 8,000
shares of Rs. 10 each in B ltd, on 31st December 2007.
Your given the following additional information:
a)B ltd, made a bonus issue on 31st December 2007 of one share for every two shares held, reducing capital reserve by an equivalent
amount, but the transaction is not shown in the Balance Sheet.
b) Interest received amounted to Rs. 100 in respect of loan due to A ltd, has not been credited in the amount of B Ltd.
c) The Directors decided that the fixed assets of B ltd., were overvalued and should be written down by Rs. 5,000.
Prepare a consolidated Balance Sheet.

Accounts of holding companies part2

1. H Ltd acquired all the shares in S Ltd on 1st January, 2009 and the Balance Sheets of the two companies on 31st March, 2009 were as
follows:

Liabilities H Ltd(Rs.) S Ltd(Rs.) Assets H Ltd(Rs.) S Ltd(Rs.)

Share Capital 50,000 30,000 Sundry Assets 65,000 70,000
Reserve on 1-4-2008 20,000 15,000 All Shares in S Ltd at cost
Profit & Loss A/c 25,000 10,000 50,000 ----
Sundry Creditors 20,000 15,000
1,15,000 70,000 1,15,000 70,000

The profit and loss account of S Ltd had a credit balance of Rs. 3,000 on 1st April 2008. Prepare a consolidated balance sheet as on 31st March 2009.

2. From the balance sheets given below prepare a consolidated balance sheet of Moti Ltd and its subsidiary company, Chotti Ltd as on 31st
March, 2009:

Liabilities Moti Ltd Chotti Ltd Assets Moti Ltd ChottiLtd

(Rs.) (Rs.) (Rs.) (Rs.)
Share Capital of Rs. 10 each Freehold building at cost
Trade creditors 1,20,000 30,000 Plant & machinery 72,000 25,000
General Reserve 15,000 5,000 Stock at cost 30,000 10,000
Profit & Loss A/c 25,000 6,000 Trade debtors 18,000 3,000
12,000 9,000 Bank balance 22,000 7,000
Shares in Chotti Ltd 2,500 5,000 5,000
shares of Rs. 10 each

25,000 ----
1,72,000 50,000 1,72,000 50,000

At the date of acquisition by Moti Ltd of its holding of 2,000 shares in Chotti Ltd the latter company had undistributed profits and reserve amounting
to Rs. 5,000, none of which has been distributed since the date of acquisition.

3. Following are the balance sheets of H Ltd and its subsidiary S Ltd as at 31st March, 2009:

Liabilities H Ltd S Ltd (Rs.) Assets H Ltd (Rs.) S Ltd (Rs.)

(Rs.)
Fully paid up equity shares of Rs. Machinery Furniture 3,90,000 1,35,000
10 each 6,00,000 2,00,000 80% shares in S Ltd at cost 80,000 40,000
General Reserve 3,40,000 80,000 Stock
Profit & Loss A/c 1,00,000 60,000 Debtors 3,40,000 -----
Creditors 70,000 35,000 Cash at bank 1,80,000 1,20,000
50,000 30,000
70,000 50,000

3,75,000 11,10,000 3,75,000

11,10,000

Following additional information is provided to you:

i. Profit and Loss account of S Ltd stood at Rs. 30,000 on 1st April, 2008 whereas General Reserve has remained unchanged since that date.
ii. H Ltd acquired 80% shares in S Ltd on 1st October, 2008 for Rs. 3,40,000 as mentioned above.
iii. Included in debtors of S Ltd is a sum of Rs. 10,000 due from H Ltd for goods sold at a profit of 25% on cost price. Till 31st march, 2009
only one half of the goods had been sold while the remaining goods were lying in the godowns of H Ltd as on that date.

You are required to prepare consolidated balance sheet as at 31st march, 2009. Show all calculations clearly.

4. From following balance sheets of X Ltd and its subsidiary Y Ltd prepare the consolidated balance sheet as on 31-12-2007.

Liabilities X Ltd Y Ltd (Rs.) Assets X Ltd (Rs.) Y Ltd (Rs.)

(Rs.)

Share Capital of Rs. 5 each Goodwill ----- 5,000

General Reserve 2,50,000 50,000 Building 50,000 17,500
Profit & Loss A/c 25,000 10,000 Machinery 1,50,000 30,000
Creditors 12,500 16,000 Shares in Y Ltd 42,500 -----
Bills payable 25,500 6,000 Stock 50,000 15,000
15,000 3,000 Debtors 30,000 6,000
Bills receivable ----- 9,000
Cash at bank 2,500 2,500

3,25,000 85,000 3,25,000 85,000

X Ltd purchased 7,500 shares in Y Ltd on 1-7-2007. The balance in the general reserve and Profit and Loss A/c of Y Ltd stood at Rs. 6,000 and Rs.
4,000 respectively on 1-1-2007. The B/R of Y Ltd Rs. 9,000 is accepted by X Ltd. The debtors of Y Ltd Rs. 2,000 due from X Ltd.

5. The balance sheets of H Ltd and its subsidiary S Ltd as on 31st march, 2009 were as follows:

Liabilities H Ltd S Ltd (Rs.) Assets H Ltd (Rs.) S Ltd (Rs.)

(Rs.)

Share Capital: Sundry assets investments in 16,00,000 10,00,000

(shares of Re. 1 each) 10,00,000 6,00,000 S Ltd
General Reserve 4,00,000 -----
Profit & Loss A/c 4,00,000 ------
Creditors 4,00,000 1,80,000
2,00,000 2,20,000

10,00,000 20,00,000 10,00,000

20,00,000

The shares were purchased by H Ltd in S Ltd on 30th September, 2008.

On 1st April, 2008, the Profit and Loss A/c of S Ltd showed a loss of Rs. 3,00,000 which was written off from out of the profits earned during the
year. Profits were earned uniformly for the year 2008-09.

Prepare consolidated balance sheet of H Ltd and S Ltd as on 31st March, 2009 giving all workings.

6. Prepare a consolidated balance sheet from following balance sheets of two companies:

Liabilities H S Assets H S
(Rs.) (Rs.) (Rs.) (Rs.)

Share Capital: Sundry assets 8,000 1,200

Equity Shares of Rs. 10 each Stock 6,100 2,400
Profit & Loss A/c 10,000 2,000 Debtors 1,300 1,700
Reserve fund 4,000 1,200 Bills receivable 100 -----
Creditors 1,000 600 Shares in Y Ltd 1,500 -----
Bills payable 2,000 1,200
300
-----

5,300 17,000 5,300

17,000

Additional information:

i. Company S has earned all the profits only since the above 150 shares were acquired by H.
ii. On the date of acquisition of these 150 shares by H Company S had got reserves of Rs. 600.
iii. Bills payable of S is in favour of company H which had discounted Rs. 200 of them.
iv. Sundry assets of S are undervalued by Rs. 200.
v. Stock of H includes goods of Rs. 500 purchased from S at a profit to company S of 25% on cost.
7. When H Ltd purchased 24,000 equity shares in S Ltd on 1-1-2009, S Ltd had Rs. 22,500 in general reserve and Rs. 37,500 (Dr.) in profit
and loss account. From their balance sheet on 31-3-2009 as below, prepare a consolidated balance sheet.
Balance Sheet

Liabilities H Ltd S Ltd (Rs.) Assets H Ltd (Rs.) S Ltd (Rs.)

(Rs.)

Equity Share Capital Fixed Assets 6,75,000 1,50,000

(Rs. 10) 7,50,000 3,00,000 Current Assets 1,20,000 1,21,500
General Reserve 90,000 7,500 Investments in S Ltd 2,10,000 -----
Profit & Loss A/c 60,000 ----- Profit and Loss Account
Creditors 1,05,000 31,500
------ 67,500

3,39,000 10,05,000 3,39,000

10,05,000

Fixed assets standing in the books of S Ltd at Rs. 90,000 were considered worth Rs. 75,000 on the date of purchase of control for the purpose of
determining the value of shares; 20% depreciation has been written off since acquisition. Stock of H Ltd includes Rs. 30,000 on which S Ltd made
Rs. 7,500 profit.

8. Big Ltd acquired 90% of the Equity/shares in Small Ltd on September 30, 2008 at a cost of Rs. 60,000. No balance sheet was prepared at
the date of acquisition. The balance sheets of Small Ltd as at 30-3-2008 and 31-3-2009 were as follows;
Balance Sheets

Liabilities 31-3-2008 31-3- Assets 31-3- 31-3-

(Rs.) 2009(Rs.) 2008(Rs.) 2009(Rs.)

Issue Capital: Net assets 60,000 75,600

20,00 Equity shares of Rs. 10 Goodwill 10,000 10,000
each) 20,000 20,000
Revenue Reserve 40,000 44,000
Profit & Loss A/c 10,000 17,400
Proposed dividend ----- 4,200

70,000 85,600
85,600
70,000

Big Ltd’s Balance Sheet on 31-3-2009 was:

Liabilities 31-3-2009(Rs.) Assets 31-3-2009(Rs.)

Share Capital: Net assets 3,00,000

20,00 Equity shares of Rs. 10 each Subsidiary Co, 1,800 shares of Rs. 10 each in
Reserve: 2,00,000 Small Ltd. 60,000
Capital 20,000
Revenue 1,00,000
Profit & Loss A/c 1,20,000
40,000

3,60,000 3,60,000

Big Ltd has not passed entries for the dividend proposed by Small Ltd. Prepare a consolidated balance sheet of Big Ltd as at 31-3-2009.

9. Skyjack Ltd acquired 6,000 Equity shares in Hijack Ltd on October 1, 2008. On march 31,2009 the balance sheet of Hijack Ltd was as
under:
Balance Sheet

Liabilities (Rs.) Assets (Rs.)

Share Capital: Land and building at cost 5,00,000

8% preference shares of Rs. 100 each Machinery:
Equity Shares of Rs. 100 each 2,00,000 Balance, April 1, 2008
General Reserve 10,00,000 Rs. 5,00,000
Profit & Loss A/c: 3,00,000 Less: depreciation Rs.50,000 4,50,000
Balance April 1, 2008 stock at cost 2,80,000
Rs.60,000 debtors 2,20,000
Profit for 2008-09 Rs. 1,80,000 cash at bank 3,70,000
Sundry Creditors 2,40,000 preliminary expenses 80,000
1,60,000

19,00,000
1,90,000
 As on the date of acquisition Skyjack Ltd found the land and buildings overvalued by Rs. 40,000 and the value of machinery to be Rs. 6,00,000. In
preparing the consolidated balance sheet, it was decided to use the proper values of assets and to eliminate preliminary expenses. Ascertain capital
profits, revenue profits and minority interest showing the details of working.

10. The summarised balance sheets of H Ltd and S Ltd on 31st December 2008 are as follows:

Liabilities H Ltd S Ltd (Rs.) Assets H Ltd (Rs.) S Ltd (Rs.)

(Rs.)

Share Capital: Assets 5,00,000 1,70,000

(shares of Rs. 10 each) 8,000 Shares in S Ltd
Reserves 5,00,000 1,00,000 1,40,000 -----
Profit & Loss A/c 80,000 30,000
60,000 40,000

1,70,000 6,40,000 1,70,000

6,40,000

S Ltd had the credit balance of Rs. 30,000 in the reserves when H Ltd acquired shares in S Ltd. It decided to make a bonus issue out of post-
acquisition profits of two shares of Rs. 10 each fully paid for every five shares held. Calculate the cost of control before the issue of bonus shares and
after the issue of bonus shares. Also make the consolidated balance sheet after the issue of bonus shares.

11. A limited company acquired 1,600 ordinary shares of B Ltd of Rs. 100 each on 31st December, 2008. The summarised balance sheets of A
Ltd and B Ltd as on that date were as follows:

Liabilities A Ltd (Rs.) B Ltd (Rs.) Assets A Ltd (Rs.) B Ltd (Rs.)

Capital: Land and building plant & 1,50,000 1,80,000

5,000 Equity shares of Rs. 100 machinery 2,40,000 1,09,400
each 5,00,000 ----- Investment in B Ltd at cost
2,000 equity shares of Rs. 100 Stocks 3,40,000 ------
each 2,00,000 Sundry debtors 1,20,000 36,000
Capital Reserve ------ 1,20,000 Bills receivable (including 44,000 40,000
General Reserve 2,40,000 ------ Rs. 3,000 from B Ltd)
Profit & Loss A/c 36,000 Cash and bank balances
Bank overdraft 57,200 ------ 15,800
Bills payable 80,000
(including Rs. 3000 to A Ltd) 14,500 8,000
creditors ------ 8,400
47,100 9,000

9,24,300 3,73,400 9,24,300 3,73,400

You are supplied following information:

 i. B Ltd has made a bonus issue on 31st December, 2008 of one equity share for every two shares held by its shareholders. Effect has yet to be
given in the accounts for this issue.
ii. The directors are advised that land and buildings of B Ltd are undervalued by Rs. 20,000 and plant and machinery of B Ltd overvalued by
Rs. 10,000. These assets have to be adjusted accordingly.
iii. Sundry creditors of A Ltd include Rs. 12,000 due to B Ltd.
You are required to prepare the consolidated balance sheet as at 31st December, 2008 together with the adjustment work sheet.
12. Holders Ltd acquired 4,000 shares of Rs. 10 each on 30-6-2008 for Rs. 52,000 in Subs. Ltd. Holders Ltd received 10% dividend for 2007,
but the dividend as received has been credited to profit and loss account of Holders Ltd. Following are the balance sheet as at 31-12-2008.
Balance Sheets

Liabilities Holders Ltd Subs. Ltd Assets Holders Ltd Subs.

(Rs.) (Rs.) (Rs.) Ltd (Rs.)

Equity Share Capital Investments in Subs. Ltd

In Rs. 10 shares 60,000 50,000 (4,000shares)
General Reserve Sundry Assets 52,000 -----
(1-1-2008) 12,000 10,000 64,000 96,000
Profit & Loss A/c:
Balance on (1-1-2008) 4,000 8,000
Balance of 2008 profit
Sundry creditors and provisions 30,000 20,000

8,000
10,000 1,16,000 96,000
1,16,000 96,000

Prepare consolidated balance sheet as at 31-12-2008.

13. The balance sheets of Hari Ltd and its subsidiary Suri Ltd as at 31st March, 2009 are as follows:
Balance sheet
as on March 31, 2009

Liabilities Hari Ltd Suri Ltd (Rs.) Assets Hari Ltd Suri Ltd (Rs.)
(Rs.) (Rs.)

Share Capital: Plant and machinery

Equity shares of Rs. 10 each, fully Furniture 4,80,000 90,000
paid 4,00,000 1,00,000 Investment 15,000 27,000
General Reserve Stock 2,00,000 -----
(on 1-4-2008) 2,80,000 34,000 Debtors 95,000 42,000
Profit & Loss A/c 1,70,000 42,000 Cast at bank 60,000 32,000
Creditors 70,000 35,000 70,000 20,000

2,11,000 9,20,000 2,11,000

9,20,000

Following information is also given to you;

i. Hari Ltd acquired 8,000 equity shares in Suri Ltd as at 1st July, 2008 at a cost of Rs. 2,00,000.
ii. Stock of Hari Ltd includes Rs. 6,000 relating to stock purchased from Suri Ltd which follows the practice of charging 25% extra on the cost
for determining the sale price.
iii. Creditors of Hari Ltd include Rs. 10,000 on account of purchases from Suri Ltd.
iv. Profit and Loss Account of Hari Ltd includes dividend @ 10% for the year 2007-08 received from Suri Ltd which declared and paid it after
1st July, 2008.
v. Balance in Suri Ltd’s profit and loss account on 1st April, 2008 was Rs. 26,000. Dividend @ 10% for the year 2007-08 was declared out of
this balance after 1st July, 2008.
vi. Profits during the year 2008-09 have been earned on uniform basis throughout the year.
Prepare consolidated balance sheet of Hari Ltd and its subsidiary Suri Ltd as at 31st March, 2009. Submit all your working notes nearly.