Topic: Consolidated worksheet, consolidated financial statements. Task Details: Consolidation worksheet entries, consolidated financial statements Jonathan Ltd acquired all the issued shares (ex-div.) of Thomas Ltd on 1 July 2020 for $246000. At this date the equity of Thomas Ltd consisted of: Share capital General reserve Retained earnings $ 130000 50000 40500 At the acquisition date all the identifiable assets and liabilities of Thomas Ltd consisted of: Carrying amount Fair value $ 210000 $200000 100000 30000 Plant (cost $230000) Land Inventories The inventories were all sold by 30 June 2020. The land was sold on 1 February 2021 for $150000. The plant was considered to have a further 5-year life. The plant was sold for $155000 on 1 January 2022. Also, at acquisition date Thomas Ltd had recorded a dividend payable of $7000 and goodwill (net of accumulated impairment losses of $13000) of $5000. Thomas Ltd had not recorded some internally generated brands that Jonathan Ltd considered to have a fair value of $12000. The brand was considered to have an indefinite life. Also, not recorded by Thomas Ltd was a contingent liability relating to a current court case in which Thomas Ltd was involved and a supplier was seeking compensation. Jonathan Ltd placed a fair value of $15000 on this liability. This court case was settled in May 2022 at which time Thomas Ltd was required to pay damages of $16000. In February 2021, Thomas Ltd transferred $20000 from the general reserve on hand at 1 July 2020 to retained earnings. A further $15000 was transferred in February 2022. Both companies have an equity account entitled 'Other components of equity to which certain gains and losses from financial assets are taken. At 1 July 2021, the balances of these accounts were $30000 (Jonathan Ltd) and $15000 (Thomas Ltd). The financial statements of the two companies on 30 June 2022 contained the following information: Income tax expense Profit for the period Retained earnings (1/7/21) Transfer from general reserve Revenues Expenses Trading profit 56000 Gains (losses) on sale of non-current assets 8000 Profit before tax 64000 Dividend paid Retained earnings (30/6/22) Share capital General reserve Other components of equity 120000 38000 Total equity Accounts payable Deferred tax liability Other non-current liabilities Total liabilities Total equity and liabilities Plant Accumulated depreciation - plant Land Brands Shares in Thomas Ltd Financial assets Cash Inventories Goodwill Accumulated impairment losses Total assets Jonathan Ltd Thomas Ltd 90000 64000 34000 42000 22000 12000 52000 103000 30000 185000 20000 165000 150000 10000 25000 350000 40000 18000 250000 308.000 658 000 430000 (182000) 150000 80000 246 000 110000 10000 40000 20000 0 658000 8000 30000 5000 25000 55000 15000 95000 0 95000 130000 20000 18000 263000 10000 10000 230000 250000 513000 320000 (220000) 20000 0 107000 5000 30000 18000 (13000) 513000 Required 1. Calculate acquisition analysis 2. Prepare the consolidation journal entries for 30 June 2022 3. Complete the consolidated worksheet 4. Prepare the consolidated financial statements at 30 June 2022