Good day to you. I'm stuck at this question 14.5 of Jane Lazar Company & Gtoup Financial Reporting. Please advise me on the question. It's bit urgent cause i'm having a midterm on it tomorrow evening. Much obliged.

HOBO 'RM000 SCANDAL 'RM000 APPRENTICE 'RM000 XFILES 'RM000

TURNOVER 20000 15000 10000 12000

COST OF SALES -8000 -7000 -5000 -6000

EXPENSES -4200 -3200 -2300 -3400

DIVIDEND INCOME

FROM SCANDAL 400

FROM APPRENTICE 400

FROM XFILES 100

OTHER INVESTMENT 600

TAX -300 -1500 -1000 -1000

DIVIDENDS PAI AT DECEMBER X4

ORDINARY 500 500 1000 300

PREFERENCE 200 35 NIL NIL

RETAINED PROFIT AT 1 JANUARY X4

3500 2500 1300 2100

ADDITIONAL INFORMATION:

A. HOBO ACQUIRED 80% OF THE ISSUED ORDINARY SHARE CAPITAL OF SCANDAL ON 1 JAN X2 WHEN THE RETAINED PROFIT OF SCANDAL WAS RM 1 MILLION. SCANDAL HAS ISSUE TWO MILLION ORDINARY SHARES AND ONE MILLION 5% PREFERENCE SHARES.

B. HOBO ACQUIRED 4 MILLION OF THE 10 MILLION ISSUED ORDINARY SHARES OF RM 1 EACH OF APPRENTICE ON 1 JAN X3 FRO RM6 MILLION. ON THE ACQUISITION DATE, APPRENTICE'S RETAINED PROFIT WAS RM500,000. IT HAD NO OTHER RESERVES. THE FAIR VALUE OF THE NET ASSETS OF APPRENTICE ON 1 JAN X3 WAS RM 13 MILLION. THE EXCESS IN THE FAIR VALUE OVER THE CARRYING AMOUNT WAS ON ACCOUNT OF A PLANT WHOSE REMAINING USEFUL LIFE WAS FIVE YEARS.

C. HOBO ACQUIRED 500,000 OF THE ISSUED 1.5 MILLION ORDINARY SHARES OF X FILES ON 1 APRIL X4. XFILES IS AN ASSOCIATE OF HOBO. ALL PROFITS ARE DEEMED TO ACCRUE EVENLY THROUGHOUT THE YEAR.

D. DURING THE CURRENT YEAR, SCANDAL SOLD INVENTORY COSTING RM 600,000 FOR RM 1000,000 TO HOBO. ONE HALF OF THESE GOODS REMAIN UNSOLD AT THE END OF THE YEAR. THE UNREALISED PROFIT IN THE OPENING STOCK OF HOBO (ALSO BOUGHT FROM SCANDAL) WAS RM 150,000.

YOU ARE ACQUIRED TO PREPARE THE CONSOLIDATED STATEMENT OF PROFIT OR LOSS FOR THE YEAR ENDED 31 DEC X4. ALL WORKINGS ARE TO BE DISCLOSED.