Question 1 1 pts On 1 July 2016, Fish Ltd acquired all the shares in...
70.2K
Verified Solution
Link Copied!
Question
Accounting
Question 1 1 pts On 1 July 2016, Fish Ltd acquired all the shares in Chip Ltd. At the date of acquisition, all the net assets of Chip Ltd were at fair value except for a plant, which has a carrying amount of $135,000 (cost is $240,000). Fish Ltd assessed the plant as having a fair value of $195,000, with a remaining useful life of 4.5 years. The consolidation adjusting entry to record the tax effect on the depreciation expense at 30 June 2021 includes: O Dr Deferred tax asset $8,000 O Cr Income tax expense $2,000 O Cr Income tax expense $1,000 O Dr Deferred tax asset $2,000 Question 1 1 pts On 1 July 2016, Fish Ltd acquired all the shares in Chip Ltd. At the date of acquisition, all the net assets of Chip Ltd were at fair value except for a plant, which has a carrying amount of $135,000 (cost is $240,000). Fish Ltd assessed the plant as having a fair value of $195,000, with a remaining useful life of 4.5 years. The consolidation adjusting entry to record the tax effect on the depreciation expense at 30 June 2021 includes: O Dr Deferred tax asset $8,000 O Cr Income tax expense $2,000 O Cr Income tax expense $1,000 O Dr Deferred tax asset $2,000
Answer & Explanation
Solved by verified expert
Get Answers to Unlimited Questions
Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!
Membership Benefits:
Unlimited Question Access with detailed Answers
Zin AI - 3 Million Words
10 Dall-E 3 Images
20 Plot Generations
Conversation with Dialogue Memory
No Ads, Ever!
Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
