Consolidated statement of Financial position of Ghana Ltd as at 31 December 2013 of the above question

Here is the consolidated statement of financial position for Ghana Ltd group as at 31 December 2013, based on the previous calculations. All figures are in GH¢'m.

Summary of Key Adjustments:

• Goodwill:

  • Goodwill at acquisition: GH¢6,400
  • Less: Impairment loss: GH¢2,000
  • Goodwill at 31 Dec 2013: GH¢4,400

• Property, Plant and Equipment (PPE):

  • Fair value adjustment at acquisition: GH¢1,000
  • Less: Accumulated depreciation on fair value adjustment (3 years $\times$ GH¢100/year): GH¢300
  • Net fair value adjustment: GH¢700

• Inventory:

  • Unrealized profit on inter-company sales: GH¢200 (GH¢1,000 in inventory $\times$ 20% profit margin)

• Inter-company Balances:

  • Eliminate inter-company trade receivables/payables: GH¢1,100
  • Adjust for cash in transit: GH¢400 (increase cash, decrease receivables)

• Non-Controlling Interest (NCI):

  • NCI at acquisition: GH¢5,000
  • Add: NCI share of post-acquisition retained earnings ($20\% \times (\text{GH¢}15,800 - \text{GH¢}11,600)$): GH¢840
  • Less: NCI share of fair value depreciation ($20\% \times \text{GH¢}300$): GH¢60
  • Less: NCI share of goodwill impairment ($20\% \times \text{GH¢}2,000$): GH¢400
  • NCI at 31 Dec 2013: GH¢5,380

• Consolidated Retained Earnings:

  • Ghana's retained earnings: GH¢25,200
  • Add: Ghana's share of post-acquisition retained earnings ($80\% \times \text{GH¢}4,200$): GH¢3,360
  • Less: Ghana's share of fair value depreciation ($80\% \times \text{GH¢}300$): GH¢240
  • Less: Unrealized profit in inventory: GH¢200
  • Less: Ghana's share of goodwill impairment ($80\% \times \text{GH¢}2,000$): GH¢1,600
  • Consolidated Retained Earnings: GH¢26,520

$$\textbf{Ghana Ltd Group} \\ \textbf{Consolidated Statement of Financial Position} \\ \textbf{As at 31 December 2013}$$ $$\begin{array}{lrr} \textbf{Assets} & \textbf{GH¢'m} & \textbf{GH¢'m} \\ \text{Non-Current Assets} & & \\ \quad \text{Property, Plant and Equipment} & & \\ \quad \quad \text{Ghana} & 33,400 & \\ \quad \quad \text{Togo} & 20,400 & \\ \quad \quad \text{Fair value adjustment (net)} & 700 & 54,500 \\ \quad \text{Goodwill} & & 4,400 \\ \text{Current Assets} & & \\ \quad \text{Inventory} & & \\ \quad \quad \text{Ghana} & 11,500 & \\ \quad \quad \text{Togo} & 6,800 & \\ \quad \quad \text{Less: Unrealized profit} & (200) & 18,100 \\ \quad \text{Trade Receivables} & & \\ \quad \quad \text{Ghana} & 8,500 & \\ \quad \quad \text{Togo} & 5,900 & \\ \quad \quad \text{Less: Inter-company elimination} & (1,100) & \\ \quad \quad \text{Less: Cash in transit adjustment} & (400) & 12,900 \\ \quad \text{Cash and Cash Equivalent} & & \\ \quad \quad \text{Ghana} & 5,000 & \\ \quad \quad \text{Togo} & 2,900 & \\ \quad \quad \text{Add: Cash in transit} & 400 & 8,300 \\ \textbf{Total Assets} & & \boxed{\textbf{98,200}} \\ & & \\ \textbf{Equity and Liabilities} & & \\ \text{Equity attributable to owners of parent} & & \\ \quad \text{Stated Capital} & 40,000 & \\ \quad \text{Retained Earnings} & 26,520 & 66,520 \\ \text{Non-Controlling Interest} & & 5,380 \\ \textbf{Total Equity} & & \textbf{71,900} \\ & & \\ \text{Current Liabilities} & & \\ \quad \text{Trade Payables} & & \\ \quad \quad \text{Ghana} & 17,200 & \\ \quad \quad \text{Togo} & 10,200 & \\ \quad \quad \text{Less: Inter-company elimination} & (1,100) & 26,300 \\ \textbf{Total Equity and Liabilities} & & \boxed{\textbf{98,200}} \\ \end{array}$$