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Below are the summarized statements of financial position for three companies as at March 31, 2020

Peter Sandra Anthony

$m $m $m

Assets

Non-current assets

Property, plant & equipment 520 280 240

Investments 345 40 Nil

865 320 240

Current assets

Inventory 142 160 120

Trade receivables 95 88 50

Cash and bank 8 245 22 270 10 180

Total assets 1,110 590 420

Equity and liabilities

Equity shares of $1 each 500 145 100

Share premium 100 Nil Nil

Retained earnings 130 230 260 260 240 240

Non-current assets

10% loan notes 180 20 Nil

Current liabilities 200 165 80

Total equity and liabilities 1,110 590 420

Notes:

Peter is a public listed company that acquired the following investments:

1. Investment in Sandra.

On April 1, 2018, Peter acquired 116 million shares in Sandra for an immediate cash payment of $210 million and issued at par one 10% $100 loan note for every 200 shares acquired. Sandras retained earnings at the date of acquisition were $120 million.

2. Investment in Anthony

On October 1, 2019, Peter acquired 30 million shares in Anthony in exchange for 75 million of its own shares. The stock market value of Peters shares at the date of this share exchange was $1.60 each. Peter has not yet recorded the investment in Anthony.

3. Peters other investments, and those of Sandra, are available-for-sale investments that are carried at their fair values as at March 31, 2019. The fair value of these investments on March 31, 2020, is $82 million and $37 million respectively.

Other relevant information:

4. Peters policy is to value non-controlling interest at their values. The directors of Peter assessed the fair value of the non-controlling interest in Sandra at the date of acquisition to be $65 million.

5. There has been no impairment to goodwill or the value of the investment in Anthony.

At the date of acquisition, Sandra owned a recently built property that was carried at its (depreciated) construction cost of $62 million. The fair value of this property at the date of acquisition was $82 million and it had an estimated remaining life of 20 years.

For many years Sandra has been selling some of its products under the brand name of San. At the date of acquisition, the directors of Peter valued this brand at $25 million with a remaining life of 10 years. The brand is not included in Sandras statement of financial position.

The fair value of all other identifiable assets and liabilities of Sandra was equal to their carrying values at the date of its acquisition.

6. The inventory of Sandra on March 31, 2020, includes goods supplied by Peter for $56 million (at selling price from Peter) Peter adds a markup of 40% on cost when selling goods to Sandra. There are no intro group receivables or payables on March 31, 2020.

7. Anthonys profit is subject to seasonal variations. Its profit for the year ended March 31, 2020, was $100 million. $20 million of this profit was made from April 1. 2018 to September 30, 2019.

8. None of the companies has paid any dividends for many years.

Required

Prepare the consolidated statement of financial position of the Peter Group as at March 31, 2020, in accordance with IAS 1

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