Thorpe Ltd Owns 70% of the Issued Share Capital of Perkins

question 4

Multiple Choice

Thorpe Ltd owns 70% of the issued share capital of Perkins Ltd.Perkins Ltd owns 80% of the issued share capital of Hackett Ltd and 60% of the issued share capital of Klim Ltd.For the year ended 31 December 20X0 each company reported the following profits/(losses) :
$\begin{array} { l c } & \$ \\\text { Thorpe Ltd } & ( 800000 ) \\\text { Perkins Ltd } & ( 600000 ) \\\text { Hackett Ltd } & 700000 \\\text { Klim Ltd } & 700000\end{array}$
-What is the amount of the total NCI in Klim Ltd's net result for this financial year?

• A)$420 000 profit
• B)$406 000 profit
• C)$490 000 profit
• D)$280 000 profit

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Definitions:

Epiblast Cells

Cells in the early embryo that give rise to the tissues of the body.

Mesoderm

Middle of the three germ layers of an embryo.

Mesoderm

The middle layer of an embryo in early development, which gives rise to muscles, bones, and circulatory and excretory systems.

Epiblast Cells

The cells in the early embryo that give rise to all of the body's tissues and organs during development.