On 1 January 2015 Earth acquired 2,700,000 $1 ordinary shares in Mango for $6,650,000 at which date there was a credit balance on the retained earnings of Mango of $1,425,000. No shares have been issued by Mango since Earth acquired its interest.

b) On 1 January 2017 Mango acquired 1,600,000 $1 ordinary shares in Plum for $3,800,000 at which date there was a credit balance on the retained earnings of Plum of $950,000. No shares have been issued by Plum since Mango acquired its interest

How to treat the two adjustments in the balance sheet

IUI die peruu 9,500 The draft statements of financial position as at 31 December 2019 are as follows: Earth $'000 Mango $'000 Plum $'000 35,483 24,273 13,063 Non-current assets Property, Plant and Equipment (NBV) Investments Shares in Mango Shares in Plum 6,650 Current asset 42,133 1568 43,701 3.800 28,073 9,025 37,098 13,063 8,883 21.946 Equity $1 ordinary shares Retained earnings 8,000 22,638 30,638 3,000 24,075 27,075 2,000 19,898 21,898 Current liabilities 48 21.946 13,063 10.023 43,701 37098 lating to Earth, Mango and Plum