Parent Limited purchased 90,000 ordinary shares in Apple Limited on 1 January 2016 when the retained earnings of Apple Limited were €100,000. The cost of the investment was

€140,000.

Additional Information:
1. The premium on acquisition (goodwill) of Apple Limited has been impaired for the first time by €5,000 during the year under review.
2. During year ended 31 December 2017, Parent Limited and Apple Limited debited €100,000 and €30,000 respectively to equity in respect of dividends paid.
Requirement Prepare the consolidated statement of profit or loss and other comprehensive income for the year ended 31 December 2017, together with the statement of financial position as at that date, for Parent Limited

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DRAFT STATEMENTS OF FINANCIAL POSITION as at 31 December 2017 Parent Limited Assets Tangible non-current assets Investment in Apple Current assets and Subsidiaries Apple Limited 000 000 3,260 580 140 1,250 290 4,650 870 Equity and Liabilities Ordinary 1 shares 1,000 300 Retained earnings 2,720 400 3,720 700 Current liabilities 930 170 4,650 870