A

Preliminary computation

Investment cost 577,500

Implied total fair value of PT B 825,000

(-) Book value of PT B 800,000
Excess fair value over book value 25,000

Income tax expense (separate tax return requered)

PT A

Tax on operating income

34% x 500.000 170,000
34% x 200.000
Tax on dividend received
(50.000x70%) x 20% taxable x 34% 2,380
Income taxes currently payable 172,380

Deffered tax on undistributed income

(49.000#x 70%) x20% taxable x 34% 2,332
Deffered tax assets on unrealized inventory profit
(50.000x 34%)
Income tax expense 174,712

#Undistributed income
Laba PT Senopati 200,000
Income tax expense anak 51,000
unrealized profit 50,000
dividend paid 50,000
49,000

B
Income From PT Senopati 104,300
Unrealized invetory profit
(50.000 x 70%) 35,000
Income From PT Senopati 69,300
C
Tirta Sejati Co and Subsidiary
Cosolidated Income Statement
for the year ended Dec , 2019

Sales 4,880,000
COGS 2,480,000
Gross Profit 2,400,000
Operating Expenses 1,750,000
Income before income taxes and NCI 650,000
(-) Income taxes 225,712
Total Cosolidated income 424,288
(-) NCI Share
(-)NCI Share 29,700
Controling Share of NI 394,588

Check
Tirta sejati separate income 325,288
income from Senopati 69,300
Tirta Sejati's and Controling share of NI 394,588
PT B

68,000

68,000

-17,000
51,000
Nusa Cemerlang and Subsidiary
Partial consolidation working papers
for the year ended Dec 31, 2018

Nusa Cemerlang 70% Multi Cipta Adjusted and eliminati

Income statement Sales 500,000 300,000 90,000

Dividend receinved from Sew 28,000 28,000
Cost of Sales 250,000 120,000 10,000
Operation expenses 78,000 80,000
Income tax expense 58,222 34,000
NCI (100.000-34.000)x30%
Control Share-NI 141,778 66,000

Supporting computations Nusa Cemerlang Multi Cipta

tax on operating income
(200.000-28.000 dividend)X34% 58,480
34% x 100.000 34,000
Tax on dividends received
(40.000x70%)x 20% taxablex 34% 1,904
60,384 34,000
Tax on undistributed income
(26.000x 70%)x 20%taxable x 34% 1,238
(-) deffered tax on inventory profit
20.000x34% 3,400
Income taxes currently payable 58,222 34,000

Concolidated net income check

Multi Cipta's net income (100.000-34.000)x70% 46,200
(-) unrealized inventory profit - 10,000
Income from Multi -equity basis 36,200
(-) Multi income-cost basis(70%x40.000) 28,000
Cost-equity method diff 8,200
(+) Nusa reported net income 141,778
Control Share of NI 149,978
Adjusted and elimination NCI Cosolidated Statement

710,000
-
90,000 - 290,000
- 158,000
- 92,222
19,800 - 19,800
149,978

atau
Laba anak 100,000 Laba anak 100,000
tax anak - 34,000 tax anak - 34,000
66,000 66,000
div yang dibagikan - 40,000 implied div yang dibagikan 40000
26,000 26,000