For each of the following intragroup transactions, assume that the consolidation process is being undertaken at December 31, 2013, and that an income tax rate of 40% applies.

1. On January 1, 2013, Campism sold an item of plant to Velvel for $1,000. Immediately before the sale, Campism had the item of plant on its accounts for $1,500. Campism depreciated items at 5% p.a. on cost and Velvel used the straight-line method over 10 years.

2. A non-current asset with a carrying amount of $1,000 was sold by Campism to Velvel for $800 on June 30, 2013.

Both entities charged depreciation at the rate of 10% p.a. on cost. The item was still on hand at December 31, 2013.

3. On November 1, 2013, Velvel sold inventory costing $200 to Campism for $400 on credit. On December 31, 2013, only half of these goods had been sold by Campism, but Campism had paid $300 back to Velvel.

4. During September 2013, Velvel declared a $3,000 dividend. The dividend was paid in February 2014.

5. In June 2013, Velvel paid a $1,500 interim dividend.
6. In August 2012, Campism sold inventory to Velvel for $6,000, at a gross profit of 20%. One quarter of this inventory was unsold by Velvel at December 31, 2012.

7. On July 1, 2010, Velvel sold land to Campism for $20,000. This had cost Velvel $16,000 on that day.

8. Velvel rented a spare warehouse to Campism and also to Rolo during 2013. The total charge for the rental was $300, and Campism and Rolo both agreed to pay half of this amount to Velvel.

Required

Calculate the consolidated financial statement adjustments for these transactions. All parts are independent unless specified. Campism owns all the share capital of Velvel.