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Provide Consolidation Entries for: Revaluation of assets, Elimination of Investment in Sub Ltd & recognition of goodwill, Elimination of intra-group sale of inventory and unrealised profit in Sub Ltd Ltd and Restatement of overstated inventory in Chief Ltd, Elimination of unrealised profit in opening inventory and its tax effect, Profit/Loss on the sale of non-current asset - Plant, Adjusting depreciation after the sale of non-current asset - Plant, Elimination of intragroup debentures, Elimination of intragroup interest on debentures, Elimination of final dividend proposed, Elimination of interim dividend paid, Goodwill Impairment.

Prepare Consolidated Profit/Loss and Balance Sheet.

Debentures (due 30/06/2024) Dividend payable Deferred Tax Liability Other liabilities Total Liabilities Total Liabilities \& Owner's Equity Assets Dividend receivable Inventory Non-current assets (depreciable) Accumulated depreciation Land Investment in Sub Ltd Debentures in Sub Ltd Other assets Total Assets \begin{tabular}{rr} 0 & 3,59,000 \\ 2,99,500 & 1,19,800 \\ 3,59,400 & 29,900 \\ 5,39,100 & 90,300 \\ 11,98,000 & 5,99,000 \\ \hline \end{tabular} \begin{tabular}{rr} 0 & 3,59,000 \\ 2,99,500 & 1,19,800 \\ 3,59,400 & 29,900 \\ 5,39,100 & 90,300 \\ 11,98,000 & 5,99,000 \\ \hline & \\ \hline 59,90,000 & 23,96,000 \\ \hline \end{tabular} Additional information: a) At date of acquisition, all identifiable net assets of Sub Ltd were recorded at fair value, with the exception of a block of land in the books of Sub Ltd. The block of land had a carrying value of: and a fair value of: b) The directors apply the impairment test for goodwill annually. As at 30/06/2022 The directors have determined the goodwill should be completely written off. The cumulative goodwill impairment write-downs for prior years totalled: $4,63,000 On 1/07/2020 c) A non-current asset owned (Plant) by Chief Ltd was sold to Sub Ltd. Cost of the asset was: Accumulated depreciation of the asset was: The asset was sold for: Sub Ltd estimated this item had a remaining useful life of: and residual value of: $4,28,000 $1,53,000 $3,83,000 4 years $0 d) The opening inventory of Chief Ltd includes unrealised profit of: on inventory transferred from Sub Ltd during the prior financial year. By 30/06/2022 all of this inventory was sold by Chief Ltd to parties external to the Group. e) During the current year, Chief Ltd purchased inventory from Sub Ltd for: This inventory had previously cost Sub Ltd: Percentage of this inventory sold to outsiders by Chief Ltd during the year was: f) Chief Ltd holds debentures in Sub Ltd amounting to: On 30/06/2022 Sub Ltd paid the annual interest in debentures at a rate of: g) Chief Ltd holds no investment in shares except for those held in Sub Ltd. Accordingly, examination of the dividend revenue and dividend receivable accounts in Chief Ltd's financial statements indicates that Chief Ltd has recognised dividend revenue prior to receipt. h) The tax rate is: $2,51,000 $10,90,000 $4,36,000 50% $3,59,000 14% 30% \begin{tabular}{|l|r|} \hline Acqusition Information & \\ \hline Ownership & \\ \hline Acquirer: & \\ \hline Acquiree: & 100% \\ \hline Acqusition Date: & Chief Ltd \\ \hline Consolidation Date: & Sub Ltd \\ \hline Years since acqusition & 1/07/2020 \\ \hline Tax Rate & 30/06/2022 \\ \hline & \\ \hline Consolidation Date Information & 2 \\ \hline Share Capital of Sub Ltd on Date of Acquisition & \\ \hline Revaluation Reserve of Sub Ltd on Date of Acquisition & \\ \hline General Reserve of Sub Ltd on Date of Acquisition & $0% \\ \hline Retained Earnings of Sub Ltd on Date of Acquisition & $10,78,200 \\ \hline Dividend Declared by Sub Ltd & $0 \\ \hline Dividend Paid by Sub Ltd & $2,69,600 \\ \hline Total goodwill written off for prior years & $2,02,140 \\ \hline \end{tabular} Debentures (due 30/06/2024) Dividend payable Deferred Tax Liability Other liabilities Total Liabilities Total Liabilities \& Owner's Equity Assets Dividend receivable Inventory Non-current assets (depreciable) Accumulated depreciation Land Investment in Sub Ltd Debentures in Sub Ltd Other assets Total Assets \begin{tabular}{rr} 0 & 3,59,000 \\ 2,99,500 & 1,19,800 \\ 3,59,400 & 29,900 \\ 5,39,100 & 90,300 \\ 11,98,000 & 5,99,000 \\ \hline \end{tabular} \begin{tabular}{rr} 0 & 3,59,000 \\ 2,99,500 & 1,19,800 \\ 3,59,400 & 29,900 \\ 5,39,100 & 90,300 \\ 11,98,000 & 5,99,000 \\ \hline & \\ \hline 59,90,000 & 23,96,000 \\ \hline \end{tabular} Additional information: a) At date of acquisition, all identifiable net assets of Sub Ltd were recorded at fair value, with the exception of a block of land in the books of Sub Ltd. The block of land had a carrying value of: and a fair value of: b) The directors apply the impairment test for goodwill annually. As at 30/06/2022 The directors have determined the goodwill should be completely written off. The cumulative goodwill impairment write-downs for prior years totalled: $4,63,000 On 1/07/2020 c) A non-current asset owned (Plant) by Chief Ltd was sold to Sub Ltd. Cost of the asset was: Accumulated depreciation of the asset was: The asset was sold for: Sub Ltd estimated this item had a remaining useful life of: and residual value of: $4,28,000 $1,53,000 $3,83,000 4 years $0 d) The opening inventory of Chief Ltd includes unrealised profit of: on inventory transferred from Sub Ltd during the prior financial year. By 30/06/2022 all of this inventory was sold by Chief Ltd to parties external to the Group. e) During the current year, Chief Ltd purchased inventory from Sub Ltd for: This inventory had previously cost Sub Ltd: Percentage of this inventory sold to outsiders by Chief Ltd during the year was: f) Chief Ltd holds debentures in Sub Ltd amounting to: On 30/06/2022 Sub Ltd paid the annual interest in debentures at a rate of: g) Chief Ltd holds no investment in shares except for those held in Sub Ltd. Accordingly, examination of the dividend revenue and dividend receivable accounts in Chief Ltd's financial statements indicates that Chief Ltd has recognised dividend revenue prior to receipt. h) The tax rate is: $2,51,000 $10,90,000 $4,36,000 50% $3,59,000 14% 30% \begin{tabular}{|l|r|} \hline Acqusition Information & \\ \hline Ownership & \\ \hline Acquirer: & \\ \hline Acquiree: & 100% \\ \hline Acqusition Date: & Chief Ltd \\ \hline Consolidation Date: & Sub Ltd \\ \hline Years since acqusition & 1/07/2020 \\ \hline Tax Rate & 30/06/2022 \\ \hline & \\ \hline Consolidation Date Information & 2 \\ \hline Share Capital of Sub Ltd on Date of Acquisition & \\ \hline Revaluation Reserve of Sub Ltd on Date of Acquisition & \\ \hline General Reserve of Sub Ltd on Date of Acquisition & $0% \\ \hline Retained Earnings of Sub Ltd on Date of Acquisition & $10,78,200 \\ \hline Dividend Declared by Sub Ltd & $0 \\ \hline Dividend Paid by Sub Ltd & $2,69,600 \\ \hline Total goodwill written off for prior years & $2,02,140 \\ \hline \end{tabular}

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