Pre‐acquisition reserves transfers  LO3, 4, 5 On 1 July 2019, Max Ltd acquired all the issued shares of Rodney Ltd for $200 000. The financial statements of Rodney Ltd showed its equity at that date to be as follows. Share capital (20 000 shares) $100 000 General reserve 40 000 Retained earnings 60 000 All the assets and liabilities of Rodney Ltd were recorded at amounts equal to their fair values at that date. During the year ending 30 June 2020, Rodney Ltd undertook the following actions. • On 10 September 2019, Rodney Ltd paid a dividend of $20 000 from the profits earned prior to 1 July 2019. • On 1 January 2020, Rodney Ltd transferred $15 000 from the general reserve existing at 1 July 2019 to retained earnings. • On 28 June 2020, Rodney Ltd declared a dividend of $20 000 from the profits earned after 1 July 2019 to be paid on 15 August 2020. Required 1. Prepare the acquisition analysis at 1 July 2019. 2. Prepare the consolidation worksheet entries for Max Ltd’s group at 1 July 2019. 3. Prepare the consolidation worksheet entries for Max Ltd’s group at 30 June 2020.