Antara Ltd operates in the construction industry and do not prepare consolidated financial statements. Laura Jones is the senior accountant of the company, leading the financial reporting team. As a result of being profitable for the last five years, on 1 July 2018, Antara Ltd acquired 25% of the issued ordinary shares of Blanca Ltd paying $198 000 in cash. This provided Antara Ltd with the significant influence over Blanca Ltd. At the acquisition date, Laura and her team received the information below for Blanca Ltd: Equity comprised $180 000 share capital and $144 000 retained earnings.

All identifiable assets and liabilities were recorded at their carrying amounts equal to the fair values with the exceptions of three assets: Inventory, Land, and Equipment. $ $

CA FV

Inventory 126 000 153 000

Land 162 000 198 000

Equipment 414 000 432 000

Other information related to the above assets includes:

Blanca Ltd sold all the inventory by 30 June 2020.

After acquisition, Land was revalued by Blanca Ltd and revaluation was recognised in Blanca Ltds own accounting book. The company uses the revaluation model to account for its non-current assets. At 30 June 2019, Blanca Ltd had Land recorded at $252 000 fair value, and at 30 June 2020 at $288 000 fair value.

Blanca Ltd planned to use Equipment for another 5 years, using the straight line method of depreciation.

a) Prepare the journal entries for Antara Ltd at 30 June 2020 to account for its investment in Blanca Ltd, assuming Antara Ltd prepares consolidated financial statements.