On 1 Jan 2021, Pearl Ltd acquired 80% of the share of Smith Ltd for $106,200. At this date, the equity of Smith consisted of share capital of $60,000 and retained earnings of $49,000. At 1 Jan 2021, all the identifiable assets and liabilities of Smith were recorded at fair value except for the plant, which had a carrying amount of $30,000 (net of $14,000 accumulated depreciation) and a fair value of $40,000. The plant had a remaining useful life of 5 years with depreciation based on the straight-line method. The fair value of the non-controlling interest (NCI) in Smith on DOA was $24,000. On 1 Jan 2023, Pearl acquired 30% of the shares of Afield Ltd for $29,800. Significant influence on Afield was obtained as a result. At this date, Afield's equity consisted of share capital of $30,000 and retained earnings of $45,000. At 1 Jan 2023, all the identifiable assets and liabilities of Afield were recorded at fair value except for: Carrying amount $12,000 4,000 Fair value $28,000 14,000 Plant (cost $24,000) Inventory The inventory was all sold by 31 Dec 2023 and the plant had a further expected useful life of 10 years with deprecation based on the straight-line method. The following intra-group or inter-entity transactions happened in the period from 1 Jan 2021 to 31 Dec 2023. (a) On 1 Jan 2023, Pearl held inventory of $10,000 purchased from Smith during the year ended 31 Dec 2022. The inventory had been manufactured by Smith at a cost of $6,400. The inventory was sold by Pearl for $12,000 on 30 May 2023. (b) Smith sold inventory costing $10,000 to Pearl for $22,000 in 2023. At the end of 2023, 65% of these inventory has been sold to an external party by Pearl. (c) On 1 Jan 2023, Pearl Ltd sold a plant costing $32,000 to Afield Ltd for $40,000. Afield Ltd applies a straight-line 20% per annum on cost for its depreciation. (d) On 1 July 2023, Afield sold a plant to Pearl recording a profit of $10,000. Afield charges depreciation at 10% p.a. on a straight-line basis for this plant and Pearl charges depreciation at 20% p.a. on a straight-line basis for this plant. An extract of the financial statements of the three companies for the year ended 31 Dec 2023 is shown below: Sales Cost of goods sold Other income (including dividend revenue, gain on sale of PPE) Depreciation expense Interest expense Other expenses Profit for the year Retained earnings (1/1/2023) Dividends appropriation Retained earnings (31/12/2023) Share capital Total equity Accounts payab Total liability and equity Plant Accumulated depreciation Investment in Smith Investment in Afield Other investments Inventory Receivables Cash Total Assets Pearl 320,000 (220,000) 14,800 (32,000) (23,600) (15,200) 44,000 176,000 (14,000) 206,000 120,000 326,000 300,000 626,000 212,000 (40,000) 106,200 29,800 83,000 165,000 40,000 30,000 626,000 Smith Afield 143,000 84,000 (98,000) (48,000) (6,800) (6,400) (16,800) 15,000 90,000 (5,000) 100,000 60,000 160,000 80,000 240,000 (1,600) (2,200) (11,400) 20,800 45,000 5,000 80,000 44,000 35,000 240,000 65,800 30,000 95,800 60,200 156,000 96,000 68,000 (20,000) (12,800) 41,600 36,000 23,200 156,000 Note: the balance of Investment in Afield Ltd of $29,800 at the end of 2023 reflects a balance that has NOT included any of the 2023 equity method adjustments. REQUIRED: 1. Prepare the Consolidated Statement of Comprehensive Income of Pearl for the year ended 31 Dec. 2023. 2. Prepare the Consolidated Statement of Changes in Equity of Pearl for the year ended 31 Dec. 2023. 3. Prepare the Consolidated Statement of Financial Position of Pearl as at 31 Dec. 2023. Ignore the deferred tax implications. You may use the consolidation worksheet provided to prepare your answers. You are required to show the detailed journal entries and working schedule.