The following are the summarised balance sheets of P Ltd and S Ltd at 31 December 2006.

There were no additions or disposals of fixed assets by the group during the year.

(b) P Limited acquired its holding on 1 January 2006, when the balance on S Limited's reserves stood at 50,000. The investment consists of 150,000 ordinary shares of 1 each, fully paid, purchased for 250,000.

(c) P Limited included in its profit and loss account a dividend of 7,500 from S Limited in March 2006, in respect of the shares acquired on 1 January 2006. S Limited does not intend to pay an ordinary dividend for the year ended 31 December 2006.

Required:
Prepare a consolidated balance sheet for P Limited and its subsidiary S Limited at 31 December 2006.

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Tangible fixed assets (see Note (a)) Loan to S Ltd Investment in S Ltd P Limited 320,000 S Limited 360,000 50,000 250,000 Current assets Stocks 110,000 50,000 Debtors 98,000 40,000 Loan interest 2,000 Bank 30,000 10,000 240,000 100,000 Creditors: amounts falling due within one year Trade creditors 190,000 28,000 Loan interest 2,000 (190,000) (30,000) Total assets less current liabilities 670,000 Long-term liability - Loan from P Ltd 430,000 (50,000) 670,000 380,000 Capital and reserves: Ordinary shares of 1 each, fully paid 500,000 200,000 8% preference shares of 1 each, fully paid 100,000 Reserves 170,000 80,000 670,000 380,000