As part of a corporate expansion plan, Stavanger Ltd acquired 100% share capital (cumdividend) of Askoy Ltd on 1 July 2020 for $138 000 cash. The statement of financial position of both companies at 30 June 2020 was as follows:

All identifiable assets and liabilities of Askoy Ltd were recorded at fair value as at 30 June 2020 except for the following:

The plant is expected to have a further useful life of 5 years. The dividend payable at 1 July 2020 was paid in October 2020. A dividend of $15 000 was declared on 30 June 2021 out of profits earned before 1 July 2020. The company tax rate is 30%.

Required: (a) Complete the acquisition analysis and prepare the consolidation worksheet journal entries, the consolidation worksheet and the consolidated statement of financial position for Stavanger Ltd and its subsidiary Askoy Ltd as at 1 July 2020.

(b) Prepare the consolidation worksheet journal entries for the preparation of consolidated financial statements for Stavanger Ltd and its subsidiary Askoy Ltd as at 30 June 2021.

\begin{tabular}{|l|r|r|} \hline & StavangerLtd & Askoy Ltd \\ \hline Share capital & 180000 & 80000 \\ \hline Retained earnings & 82000 & 45000 \\ \hline Total equity & $262000 & $125000 \\ \hline Provisions & 88000 & 27000 \\ \hline Dividend payable & 20000 & 10000 \\ \hline Total liabilities & $370000 & $7000 \\ \hline Total equity and liabilities & 150000 & $162000 \\ \hline Cash & 40000 & 10000 \\ \hline Accounts receivables & 55000 & 25000 \\ \hline Land & 190000 & 42000 \\ \hline Plant & (65000) & 100000 \\ \hline Accumulated depreciation & $370000 & (15000) \\ \hline Total assets & $162000 \\ \hline \end{tabular} \begin{tabular}{|lll|} \hline & Carryingamount & Fair value \\ Land & $42000 & $45000 \\ Plant (cost $100000) & $85000 & $90000 \\ \hline \end{tabular}