Bamburg Ltd's retained earnings at the date of acquisition was $ 135,000 No ordinary shares were issued/redeemed by the subsidiary since acquisition. The group used the proportion of the net assets of the subsidiary company to measure non-controlling interest Bamburg Ltd holds a patent which has not been recognized in its financial statements. The directors of Trifles Ltd are of the opinion that the patent should be accounted. The patent had a fair value of $ 125,000 and a remaining term four years to go as from the date of acquisition. With regards to Bamburg Ltd's Property and Plant, it is noted that the asset had a lifetime of five years at the acquisition date and the carrying value of Property and Plant was greater than the fair value by $ 40,000 on the acquisition date. Included within the intangible assets of Bamburg Ltd is goodwill of $ 5,000 which arose on the purchase of the trade and assets of a sole-trader business Extract of statement of financial position for the year ended 30 June 2020 Equity and liabilities Trifles Bamburg $ 000 $ 000 Share capital ($ 0.5 Each) 325 175 Share premium 200 100 Retained earnings 200 225 Non current liabilities 125 50 Current liabilities 100 10 -) (i) Calculate the net assets of the subsidiary at the acquisition date and reporting date (30 June 2020). [11 Marks] (ii) Calculate the goodwill at acquisition date. [2 marks] (iii) Calculate the group retained earnings as at 30 June 2020. [3 Marks] Bamburg Ltd's retained earnings at the date of acquisition was $ 135,000 No ordinary shares were issued/redeemed by the subsidiary since acquisition. The group used the proportion of the net assets of the subsidiary company to measure non-controlling interest Bamburg Ltd holds a patent which has not been recognized in its financial statements. The directors of Trifles Ltd are of the opinion that the patent should be accounted. The patent had a fair value of $ 125,000 and a remaining term four years to go as from the date of acquisition. With regards to Bamburg Ltd's Property and Plant, it is noted that the asset had a lifetime of five years at the acquisition date and the carrying value of Property and Plant was greater than the fair value by $ 40,000 on the acquisition date. Included within the intangible assets of Bamburg Ltd is goodwill of $ 5,000 which arose on the purchase of the trade and assets of a sole-trader business Extract of statement of financial position for the year ended 30 June 2020 Equity and liabilities Trifles Bamburg $ 000 $ 000 Share capital ($ 0.5 Each) 325 175 Share premium 200 100 Retained earnings 200 225 Non current liabilities 125 50 Current liabilities 100 10 -) (i) Calculate the net assets of the subsidiary at the acquisition date and reporting date (30 June 2020). [11 Marks] (ii) Calculate the goodwill at acquisition date. [2 marks] (iii) Calculate the group retained earnings as at 30 June 2020. [3 Marks]