You are presented with the following summarised information for Norbreck pic and its subsidiary, Bispham Ltd: Income Statements for the year ending 30 September 2013 Norbreck plc Bispham Ltd 000 000 Revenue 1,700 450 Cost of sales (920) (75) Gross profit 780 375 Administration expenses (300) (175) Income from shares in group company 120 - Profit before taxation 600 200 Taxation (30) (20) Profit for the year 570 180

Additional information:

(a) Norbreck plc acquired $80 \%$ of the shares in Bispham Ltd on 1 October 2010. Bispham's retained profits balance as at that date was $£ 10,000$.

(b) During the year, Norbreck paid dividends of $£ 360,000$ and Bispham paid dividends of $£ 150,000$.
\section*{Required:}
Prepare Bispham plc's consolidated income statement for the year ending 30 September 2013 and a consolidated statement of financial position as at that date.
Note: Formal notes to the account are not required, although detailed workings should be submitted with your answer. You should also append to the consolidated income statement your calculation of earnings per share and a statement showing the make-up of 'retained profits carried forward'.

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Statements of Financial Position at 30 September 2013 Norbreck pic Bispham Ltd 000 000 Non-current tangible assets Investments: Shares in group company 1,280 440 400 1,680 440 Current assets Inventory Accounts receivable 300 250 280 150 Cash at bank and in hand 40 10 620 410 Total assets 2,300 850 Current liabilities Trade accounts payable (80) (160) Other payables, taxation and social security (160) (70) (240) (230) Non-current liabilities Deferred taxation (460) (20) Total liabilities (700) (250) Net assets 1,600 600 Equity Called-up share capital (ordinary shares of 1 each) Reserves (including retained profits) 900 400 700 200 1,600 600