A group of entities comprised of Mark Ltd (parent entity) and Roger Ltd (subsidiary entity) have the following inventory balances at 30 June 2021.

Mark Ltd

$57 000

Roger Ltd

$49 000

1.There are two intra-group transactions incurred during the year ended on 30 June 2021. On 1 October 2020, Mark Ltd recorded $4 000 of profit(before-tax)from sale of the inventory to Roger Ltd, then on 20 May 2021, Roger Ltd recorded $2 000 of loss from sale of the inventory to Mark Ltd. All inventories transferred betweenRoger Ltd andMark Ltdhave not been sold to external parties.The company tax rate is 30%.

Required:

What is the amount of total consolidated 'Inventory' balanceshown on the consolidation worksheetat 30 June 2021?

2.During the year ended on 30 June 2020, a subsidiary entity sold inventories to its parent entity for $12 000. The inventory had originally cost the subsidiary $3 000. The parent entity sold 40% of the inventory transferred from the subsidiary to an external party during the year.The company tax rate is 30%.

Required:

What is the amount of adjustment required for the consolidated "Cost of Sales" at 30 June 2020 in relation to this intra-group transaction?