Big Bird Ltd owns 61% of Peter Pan Ltd, 49% of Scooby-doo Ltd, and 76% of Sponge Bob Ltd. Below are the individual Balance Sheets for Big Bird Ltd, Peter Pan Ltd, Scooby-doo Ltd, Sponge Bob Ltd and the consolidated Balance Sheet of Big Bird Group Ltd. There are a number of errors in the consolidated Balance Sheet.

determine what those errors are and to correctly recalculate the consolidated Balance Sheet. a) prepare the journal entry for Big Bird Ltd to record the work paper investment elimination entries c) prepare a recalculated classified consolidated Balance Sheet in correct form.

Big Bird Ltd Balance Sheet as at 31 March 2017 Current Liabilities Accounts Payable Total Current Liabilities 70,000 25,000 10,880 10,880 Current Assets Cash Other current Assets Total Current Assets 95,000 Long-term Liabilities Loans 69,000 Total Long-term Loans 69,000 Total Liabilities 79,880 Non-Current Assets Plant & Equipment 70,000 (Net Dep) Land 88,000 Investment in 73,200 Peter Pan Ltd Investment in 84,280 Scooby-doo Ltd Investment in 152,000 Sponge Bob Ltd Total Non- Current Assets Shareholders' Equity Common Stock 300,000 467,480 Other Contributed Capital 50,000 132,600 Retained Earnings Total Shareholders' Equity 482,600 Total Assets 562,480 562,480 Total Liabilities and Shareholders' Equity Peter Pan Ltd Balance Sheet as at 31 March 2017 6,000 8.000 12,000 Current Assets Cash Other current Assets Total Current Assets Current Liabilities Accounts Payable Total Current Liabilities 6,000 20,000 Long-term Liabilities Loans 34,000 80,000 Total Long-term Loans 34,000 Non-Current Assets Plant & Equipment (Net Dep) Land Total Non- Current Assets 60,000 Total Liabilities 40,000 140,000 60,000 20,000 Shareholders' Equity Common Stock Other Contributed Capital Retained Earnings Total Shareholders' Equity 40,000 120,000 Total Assets 160,000 160,000 Total Liabilities and Shareholders' Equity Scooby-doo Ltd Balance Sheet as at 31 March 2017 4,000 13,000 66,000 Current Assets Cash Other current Assets Total Current Assets Current Liabilities Accounts Payable Total Current Liabilities 4,000 79,000 Long-term Liabilities Loans 40,000 50,000 Total Long-term Loans 40,000 Non-Current Assets Plant & Equipment (Net Dep) Land Total Non- Current Assets 87,000 Total Liabilities 44,000 137,000 100,000 65,000 Shareholders' Equity Common Stock Other Contributed Capital Retained Earnings Total Shareholders' Equity 7,000 172,000 Total Assets 216,000 216,000 Total Liabilities and Shareholders' Equity Sponge Bob Ltd Balance Sheet as at 31 March 2017 16,000 Current Assets Cash Other current Assets Total Current Assets 4,000 30,000 Current Liabilities Accounts Payable Total Current Liabilities 16,000 34,000 Long-term Liabilities Loans 90,000 82,000 Total Long-term Loans 90,000 Non-Current Assets Plant & Equipment (Net Dep) Land Total Non- Current Assets 190,000 Total Liabilities 106,000 272,000 150,000 22,000 Shareholders' Equity Common Stock Other Contributed Capital Retained Earnings Total Shareholders' Equity 28,000 200,000 Total Assets 306,000 306,000 Total Liabilities and Shareholders' Equity Big Bird Group Ltd Consolidated Balance Sheet for the year ending 31 March 2017 Current Liabilities Accounts Payable Total Current Liabilities 95,000 133,000 36,880 36,880 Current Assets Cash Other current Assets Total Current Assets 228,000 Long-term Liabilities Loans 233,000 Total Long-term Loans 233,000 Non-Current Assets Plant & Equipment 282,000 (Net Dep) Land 425,000 Total Non- Current Assets Total Liabilities 269,880 707,000 300,000 50,000 132,600 482,600 Shareholders' Equity Common Stock Other Contributed Capital Retained Earnings Total Shareholders' Equity Non-controlling Minority Interest Total Liabilities and Shareholders' Equity 182,520 Total Assets 935,000 935,000 Big Bird Ltd Balance Sheet as at 31 March 2017 Current Liabilities Accounts Payable Total Current Liabilities 70,000 25,000 10,880 10,880 Current Assets Cash Other current Assets Total Current Assets 95,000 Long-term Liabilities Loans 69,000 Total Long-term Loans 69,000 Total Liabilities 79,880 Non-Current Assets Plant & Equipment 70,000 (Net Dep) Land 88,000 Investment in 73,200 Peter Pan Ltd Investment in 84,280 Scooby-doo Ltd Investment in 152,000 Sponge Bob Ltd Total Non- Current Assets Shareholders' Equity Common Stock 300,000 467,480 Other Contributed Capital 50,000 132,600 Retained Earnings Total Shareholders' Equity 482,600 Total Assets 562,480 562,480 Total Liabilities and Shareholders' Equity Peter Pan Ltd Balance Sheet as at 31 March 2017 6,000 8.000 12,000 Current Assets Cash Other current Assets Total Current Assets Current Liabilities Accounts Payable Total Current Liabilities 6,000 20,000 Long-term Liabilities Loans 34,000 80,000 Total Long-term Loans 34,000 Non-Current Assets Plant & Equipment (Net Dep) Land Total Non- Current Assets 60,000 Total Liabilities 40,000 140,000 60,000 20,000 Shareholders' Equity Common Stock Other Contributed Capital Retained Earnings Total Shareholders' Equity 40,000 120,000 Total Assets 160,000 160,000 Total Liabilities and Shareholders' Equity Scooby-doo Ltd Balance Sheet as at 31 March 2017 4,000 13,000 66,000 Current Assets Cash Other current Assets Total Current Assets Current Liabilities Accounts Payable Total Current Liabilities 4,000 79,000 Long-term Liabilities Loans 40,000 50,000 Total Long-term Loans 40,000 Non-Current Assets Plant & Equipment (Net Dep) Land Total Non- Current Assets 87,000 Total Liabilities 44,000 137,000 100,000 65,000 Shareholders' Equity Common Stock Other Contributed Capital Retained Earnings Total Shareholders' Equity 7,000 172,000 Total Assets 216,000 216,000 Total Liabilities and Shareholders' Equity Sponge Bob Ltd Balance Sheet as at 31 March 2017 16,000 Current Assets Cash Other current Assets Total Current Assets 4,000 30,000 Current Liabilities Accounts Payable Total Current Liabilities 16,000 34,000 Long-term Liabilities Loans 90,000 82,000 Total Long-term Loans 90,000 Non-Current Assets Plant & Equipment (Net Dep) Land Total Non- Current Assets 190,000 Total Liabilities 106,000 272,000 150,000 22,000 Shareholders' Equity Common Stock Other Contributed Capital Retained Earnings Total Shareholders' Equity 28,000 200,000 Total Assets 306,000 306,000 Total Liabilities and Shareholders' Equity Big Bird Group Ltd Consolidated Balance Sheet for the year ending 31 March 2017 Current Liabilities Accounts Payable Total Current Liabilities 95,000 133,000 36,880 36,880 Current Assets Cash Other current Assets Total Current Assets 228,000 Long-term Liabilities Loans 233,000 Total Long-term Loans 233,000 Non-Current Assets Plant & Equipment 282,000 (Net Dep) Land 425,000 Total Non- Current Assets Total Liabilities 269,880 707,000 300,000 50,000 132,600 482,600 Shareholders' Equity Common Stock Other Contributed Capital Retained Earnings Total Shareholders' Equity Non-controlling Minority Interest Total Liabilities and Shareholders' Equity 182,520 Total Assets 935,000 935,000