On 1 April 20X5 Hardy entity acquired 4 million of Sibling entity's ordinary shares paying ‚¬4.50 each. At the same time it also purchased at nominal value ‚¬500 000 of its 10% preference shares. At the date of acquisition the retained profit reserves of Sibling entity were ‚¬8 400 000. The draft statements of financial position of the two entities at 31 March 20X8 were as follows:

Extracts from the statement of comprehensive income of Sibling entity before intra-group adjustments, for the year to 31 March 20X8 are:
‚¬000
Profit before tax ..................... 5 400
Taxation .............................. (1 600)
3 800
The following information is relevant:
€¢ Included in the land and buildings of Sibling is a large area of developed land at its cost of ‚¬5 million. Its fair value at the date Sibling was acquired was ‚¬7 million and by 31 March 20X8 this had risen to ‚¬8.5 million. The group valuation policy for development land is that it should be carried at fair value and not depreciated.
€¢ Also at the date of Sibling's acquisition the plant and equipment included plant that had a fair value of ‚¬4 million in excess of its carrying value. This plant had a remaining life of five years. The group calculates depreciation on a straight line basis. The fair value of Sibling's other net assets approximated to their carrying values.
€¢ During the year Sibling sold goods to Hardy for ‚¬1.8 million. Sibling adds a 20% mark-up on cost to all its sales. Goods with a transfer price of ‚¬450 000 were included in Hardy's stock at 31 March 20X8. The balance on the current accounts of the parent and subsidiary was ‚¬240 000 on 31 March 20X8.
Prepare the consolidated statement of financial position of Hardy as at 31 March 20X8.

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Hardy Hardy Sibling Sibling Non-current assets Land and buildings Plant and equipment 22 000 20 450 12 000 10 220 Investment in Sibling ordinary shares Preference shares 18 000 500 60 950 22 220 Current assets Inventory Accounts receivable Cash 9 850 11 420 490 21 760 6 590 3 830 0 10 420 Current liabilities Accounts payable Bank overdraft Provision for taxation 4 510 570 980 (7060) 6 400 2 470 (8 870) Net current assets Long-term liabilities 10% loans Net assets Ordinary shares of 1 10% preference shares Retained profit reserves 2 890 3 360 (4 000) 21 580 5 000 2 000 14 580 21 580 (12 000) 61 840 10 000 51 840 61 840