Answers needed for each part with step by step solution thanks ☺ A acquired 80% of B for cash of £2,200. At the time of acquisition net assets in of B had fair value of £2,000 but book value of £1,200 Current balance sheets are as follows: £2,200 Investment in B Other net assets 2.800 1500 5,000 1500 Share capital £1 shares Retained earnings £4.0001000 1000 5,000 1500 Required a) Prepare a consolidated balance sheet for the A group (8 marks) b) Explain the following terms i) Subsidiary company i) Associate company ii) Non-controlling (minority) interests. (2 marks) (2 marks) (2 marks) [Total 14 marks] A acquired 80% of B for cash of £2,200. At the time of acquisition net assets in of B had fair value of £2,000 but book value of £1,200 Current balance sheets are as follows: £2,200 Investment in B Other net assets 2.800 1500 5,000 1500 Share capital £1 shares Retained earnings £4.0001000 1000 5,000 1500 Required a) Prepare a consolidated balance sheet for the A group (8 marks) b) Explain the following terms i) Subsidiary company i) Associate company ii) Non-controlling (minority) interests. (2 marks) (2 marks) (2 marks) [Total 14 marks]