(A) Opperman Ltd owns all the share capital of Jewel Ltd. Duringthe year ended 30 June 2018, Opperman Ltd paid a dividend of $20000, and Jewel Ltd paid and declared dividends of $10 000 and $30000 respectively. The tax rate is 30%. Explain in detail thejournal entries that would be required in preparing theconsolidated financial statements for 30 June 2018.

(B) What is a non-controlling interest and how should it bedisclosed? Does the existence of the NCI affect the BCVR entries?Why or why not? Using the following information demonstrate how theexistence of an NCI affects the pre-acquisition entry. Explain thejournal entry in detail, line by line. Harnesh Ltd acquired 80% ofMaxima Ltd for $450 000 cash on 1 July 2017. At that date theequity of Maxima included the following: Share Capital $400 000General Reserve 50 000 Retained Earnings 50 000 500 000 All assetsand liabilities of Maxima Ltd are at fair value. The tax rate is30%.

(C) When calculating the NCI share of equity the step approachis used. Demonstrate the step approach, explaining in detail eachjournal entry, using the following information: Harnesh Ltdacquired 80% of Maxima Ltd for $450 000 cash on 1 July 2016. Atthat date the equity of Maxima included the following: ShareCapital $400 000 General Reserve 50 000 Retained Earnings 50 000500 000 All assets and liabilities of Maxima Ltd are at fair value.The partial goodwill method is used. The tax rate is 30%. On 30June 2018, Maxima Ltd provided the following information: Retainedearnings (1/7/17) $ 80 000 General Reserve (1/7/17) 70 000 Profitafter tax 50 000 Dividend paid 10 000