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Liverpool sells a package which gives customers a free laptop when they sign a 2-year contract for provision of broadband services. The laptop has a stand-alone price of $200 & the broadband contract is for $30 per month. In accordance with IFRS 15:

Answer: $439 will be recognised as revenue on each package in the first year

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On 1 Jan 20X5, PA acquired 80% of SM shares & goodwill was at $20000 as noncontrolling interests at fair value. At 31 Dec 20X5, all goodwill was impaired. SM’s machinery with 5-year remaining life had fair value of $5000 in excess of carrying amount

Answer: If SM didn’t adjust in its book, $16,800 is adjusted in group retained earnings

A 60% owned subsidiary sold goods to its parent for $150,000 at a mark-up of 25% on cost during the year ended 30 Jun 20X5. One fifth of these goods remained unsold as at 30 Jun 20X5. What is adjustment made to group retained earnings in 30 Jun 20X5?

Answer: DEBIT $3,600 adjustment made to reflect unrealized profit in inventory

On 1 Sep 20X8, PC acquired 75% of SN’s shares when SN’s net assets fair value was same as carrying amounts except of a liability had a carrying amount of $20,000 below fair value. SN hadn’t adjusted it in its record. NCIs are measured at fair value

Answer: At the date of acquisition, goodwill Increase by $20,000 after adjustment above

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In the year to 31 Dec 20X9 WT pays an interim equity dividend of 3.4c per share and declares a final equity dividend of 11.1c. It has 5 million $1 shares in issue and the ex div share price is $3.50. What is the dividend yield?

Answer: 4.1%

can you please help me with workings ?

[sbabic]

How to solve, workings ?:

JC entered into a lease for a machine on 1 Apr 20X0 with $15,000 payments made annually in arrears & lease payments present value was $100,650 with 8% implicit interest rate. Lease term and machine useful life are 10 years. For year end 31 Dec 20X0:

Answer: Total amount charged to profit or loss for the right-of-use asset is $13,588

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