14F" hi Question 2 Company. During the three-month period between January and March 2021, there were more On January 5, 2021, Parrotfish Limited was acquired by a private company called Universe acquisitions of equity interests in other companies by Parrotfish Limited. In addition, there pere changes in the equity interests of Shrimpfish Limited and Angelfish Limited held by Below shows the group structure of Parrotfish Group: Parrotfish Limited. In April 2021, there was a group restructuring in Parrotfish Group. Universe Company 100% 90% 30% Sunflower Limited Parrotfish Limited 98% Aster Limited 60% 10% Angelfish Limited Shrimpfish Limited 20% Firefish Limited 70% Strawberry Limited 15% Silver Limited 60% Salmon Fig Limited Limited All companies in the group are incorporated and operate their business in Hong Kong. The shareholdings shown are indicative of the voting rights. Below is the information about the chairperson, executive director, and company secretary of each company: Universe Company Parrotfish Limited Shrimpfish Limited Strawberry Limited Fig Limited Angelfish Limited Sunflower Limited Aster Limited Firefish Limited Silver Limited Salmon Limited Chairperson Mr Sun Mr Parrot Ms Shrimp Mr Blueberry Mr Figs Ms Angel Mr Bellflower Ms Apple Mr Flagfin Ms Gold Ms Salmon Executive Director Ms Moon Mr Peacock Mr Prawn Ms Blackberry Ms Fennel Ms Demon Ms Coneflower Mr Apricot Ms Flounder Ms Pearl Mr Sailfish Company Secretary Mr Star Ms Pigeon Mr Lobster Ms Raspberry Ms Feijoa Mr Bishop Ms Mayflower Ms Avocado Ms Flathead Mr Diamond Ms Sandfish During June 2021, there are business transactions between Parrotfish Limited and different parties in the Group: . . There were sales of computers from Ms Shrimp to Parrotfish Limited for $400,000 Parrotfish Limited sold furniture to Ms Raspberry. The selling price of the furniture was $300.000 Parrotfish Limited bought equipment from Universe Company for $800,000. Aster Limited sold a motor car to Angelfish Limited at the selling price of $450,000. Parrotfish Limited sold 10 printers to Shrimpfish Limited. The amount of the sale was $40,000. Parrotfish Limited provided consultancy services to Aster Limited. The amount of the service charge was $300,000. All transactions were on cash basis. No balances in respect of these transactions were outstanding as at June 30, 2021. . Required (a) For the following persons and companies, explain (with reasons) whether they are related parties of Parrotfish Limited for the purpose of preparing the interim financial statements of Parrotfish Limited as at June 30, 2021. (21 marks) Mr Star Mrs Prawn (wife of Mr Prawn) Ms Gold Strawberry Limited Ms Bishop (daughter of Mr Bishop) Ms Mayflower Firefish Limited (b) Prepare the "Related Party Transactions" disclosure note for the interim consolidated financial statements of Parrotfish Limited as at June 30, 2021. (9 marks) 14F" hi Question 2 Company. During the three-month period between January and March 2021, there were more On January 5, 2021, Parrotfish Limited was acquired by a private company called Universe acquisitions of equity interests in other companies by Parrotfish Limited. In addition, there pere changes in the equity interests of Shrimpfish Limited and Angelfish Limited held by Below shows the group structure of Parrotfish Group: Parrotfish Limited. In April 2021, there was a group restructuring in Parrotfish Group. Universe Company 100% 90% 30% Sunflower Limited Parrotfish Limited 98% Aster Limited 60% 10% Angelfish Limited Shrimpfish Limited 20% Firefish Limited 70% Strawberry Limited 15% Silver Limited 60% Salmon Fig Limited Limited All companies in the group are incorporated and operate their business in Hong Kong. The shareholdings shown are indicative of the voting rights. Below is the information about the chairperson, executive director, and company secretary of each company: Universe Company Parrotfish Limited Shrimpfish Limited Strawberry Limited Fig Limited Angelfish Limited Sunflower Limited Aster Limited Firefish Limited Silver Limited Salmon Limited Chairperson Mr Sun Mr Parrot Ms Shrimp Mr Blueberry Mr Figs Ms Angel Mr Bellflower Ms Apple Mr Flagfin Ms Gold Ms Salmon Executive Director Ms Moon Mr Peacock Mr Prawn Ms Blackberry Ms Fennel Ms Demon Ms Coneflower Mr Apricot Ms Flounder Ms Pearl Mr Sailfish Company Secretary Mr Star Ms Pigeon Mr Lobster Ms Raspberry Ms Feijoa Mr Bishop Ms Mayflower Ms Avocado Ms Flathead Mr Diamond Ms Sandfish During June 2021, there are business transactions between Parrotfish Limited and different parties in the Group: . . There were sales of computers from Ms Shrimp to Parrotfish Limited for $400,000 Parrotfish Limited sold furniture to Ms Raspberry. The selling price of the furniture was $300.000 Parrotfish Limited bought equipment from Universe Company for $800,000. Aster Limited sold a motor car to Angelfish Limited at the selling price of $450,000. Parrotfish Limited sold 10 printers to Shrimpfish Limited. The amount of the sale was $40,000. Parrotfish Limited provided consultancy services to Aster Limited. The amount of the service charge was $300,000. All transactions were on cash basis. No balances in respect of these transactions were outstanding as at June 30, 2021. . Required (a) For the following persons and companies, explain (with reasons) whether they are related parties of Parrotfish Limited for the purpose of preparing the interim financial statements of Parrotfish Limited as at June 30, 2021. (21 marks) Mr Star Mrs Prawn (wife of Mr Prawn) Ms Gold Strawberry Limited Ms Bishop (daughter of Mr Bishop) Ms Mayflower Firefish Limited (b) Prepare the "Related Party Transactions" disclosure note for the interim consolidated financial statements of Parrotfish Limited as at June 30, 2021. (9 marks)