a) Describe the consolidation procedure that will be applied to account for the sale of an asset between the parent and subsidiary in the consolidated financial statements.

b) Discuss the effect of a profit and loss on sale on:

i) The consolidated statement of financial position

ii) The consolidated statement of profit or loss and other comprehensive

Please note:

Your answer should comply with the requirements of International Financial Reporting Standards (IFRS).

Journals and preparation of financial statements are not required.