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P Limited obtained control with the acquisition of an 80% equity interest in the share capital of S Limited on 1 January 20.9 and paid R100 000 cash and transferred 10 000 ordinary equity shares in W Limited, with a market value of R4 per share, to settle the purchase price of R140 000 for the acquisition of an 80% interest.Identify the correct journal entries to be made in the separate accounting records of P Ltd Select one: a. Dr Investment in S Ltd R140 000 ,Cr Bank R100 000 Cr Investment in W Ltd R40 000 b. Dr Investment in S Ltd R140 000, Dr Investment in W Ltd R40 00, Cr Bank R180 000 c. Dr Investment in S Ltd R110 00 ,Cr Bank R11 000 d. Dr Investment in S Ltd R140 000, Cr Bank R140 000

P Limited obtained control with the acquisition of an 80% equity interest in the share capital of S Limited on 1 January 20.9 and paid R100 000 cash and transferred 10 000 ordinary equity shares in W Limited, with a market value of R4 per share, to settle the purchase price of R140 000 for the acquisition of an 80% interest.Identify the correct journal entries to be made in the separate accounting records of P Ltd Select one: a. Dr Investment in S Ltd R140 000 ,Cr Bank R100 000 Cr Investment in W Ltd R40 000 b. Dr Investment in S Ltd R140 000, Dr Investment in W Ltd R40 00, Cr Bank R180 000 c. Dr Investment in S Ltd R110 00 ,Cr Bank R11 000 d. Dr Investment in S Ltd R140 000, Cr Bank R140 000

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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P Limited obtained control with the acquisition of an 80% equity interest in the share capital of S Limited on 1 January 20.9 and paid R100 000 cash and transferred 10 000 ordinary equity shares in W Limited, with a market value of R4 per share, to settle the purchase price of R140 000 for the acquisition of an 80% interest.Identify the correct journal entries to be made in the separate accounting records of P Ltd
Select one:
a. Dr Investment in S Ltd R140 000 ,Cr Bank R100 000 Cr Investment in W Ltd R40 000
b. Dr Investment in S Ltd R140 000, Dr Investment in W Ltd R40 00, Cr Bank R180 000
c. Dr Investment in S Ltd R110 00 ,Cr Bank R11 000
d. Dr Investment in S Ltd R140 000, Cr Bank R140 000
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