The statements of financial position of CC Ltd and its two subsidiaries DD Ltd and EE Ltd as at 31 December 2017 are as follows:

The following information is available:

(a) CC Ltd acquired 60% of the shares of DD Ltd on 1 January 2016, when DD Ltd had retained earnings of £280,000. The fair value of the property and equipment of DD Ltd on that date was £30,000 more than book value. This valuation has not been reflected in the books of DD Ltd.

(b) CC Ltd acquired 90% of the shares of EE Ltd on 1 January 2017, when EE Ltd had a revaluation reserve of £60,000 and retained earnings of £230,000. The fair value of EE Ltd's assets and liabilities on that date was equal to their book value.

(c) Neither DD Ltd nor EE Ltd have issued any shares since being acquired by CC Ltd.

(d) Goodwill arising on consolidation in relation to DD Ltd has suffered an impairment loss of 50% since the date of acquisition. The impairment loss for EE Ltd is 25%.

(e) The following intra-group balances exist on 31 December 2017:

• DD Ltd owes CC Ltd £15,000.
• EE Ltd owes CC Ltd £25,000.
• EE Ltd owes DD Ltd £8,000.

All of these balances are included in trade receivables and payables.

(f) Goods purchased for £8,000 from CC Ltd are included in DD Ltd's inventory at 31 December 2017. CC Ltd had invoiced these goods to DD Ltd at cost plus 60%.

(g) Any depreciation consequences of the fair value adjustment relating to the property and equipment of DD Ltd may be ignored.

Required:

Prepare a consolidated statement of financial position as at 31 December 2017.

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CC Ltd DD Ltd EE Ltd £000 £000 £000 Assets Non-current assets 521 Property and equipment Investment in DD Ltd 4,761 411 600 575 Investment in EE Ltd 5,936 Current assets Inventories 1,532 1,947 222 187 Trade receivables 258 202 510 Cash at bank 239 3,718 30 13 402 9,654 1,031 813 Equity Ordinary share capital Revaluation reserve 500 5,000 2,500 300 100 Retained earnings 547 320 250 650 8,047 820 Liabilities Current liabilities Trade payables 1,607 211 163 1,031 9,654 813