16 Points 1.On 1 July 2020, Morrison Ltd acquired 100% of the shares of Albanese Ltd for $2,800,000. On 1 July 2020, the equity of Albanese Ltd consisted of: 2. All the identifiable assets and liabilities of Albanese Ltd were recorded at fair value on 1 July 2020 except for: The above plant and equipment had a further 5 -year life and was expected to be used evenly over that time. 3. During the year ended 30 June 2021,80% of the above inventories on hand of Albanese Ltd on 1 July 2020 was sold to external parties. The balance was sold to external parties in the year ended 30 June 2022. 4. During the year ended 30 June 2021, Albanese Ltd sold inventory to Morrison Ltd. These inventories cost $130,000 and were sold at a markup of 15% to Morrison Ltd. As at 30 June 2021, 10\% of these inventories were still held by Morrison Ltd. 5. Albanese Ltd sold some land to Morrison Ltd in December 2021. The land had originally cost Albanese Ltd $150,000 and the land was sold to Morrison Ltd for $180,000. To finance the purchase of the land, Albanese Ltd provided Morrison Ltd an interest-free loan of $100000, and the balance was paid in cash. 6. During the year ended 30 June 2022, there was a transfer to general reserve of $140,000 by Albanese Ltd. The transfer to general reserve was from pre-acquisition profits. 7. Albanese Ltd paid dividends of $130,000 for the period ended 30 June 2022. 8. Corporate tax rate of 30% applies, where applicable. For the year ended 30 June 2022, prepare the (1) Business Combination Valuation Reserve entries ( 9 marks) (2) Pre-acquisition elimination entries (7 marks)