On 1 July 2014, P Ltd acquired all the issued share capital of S Ltd, giving in exchange 50,000 shares in P Ltd, these having a fair value of $8 per share. At acquisition date, the balance sheet of P Ltd and S Ltd, and the fair value of S Ltd's assets and liabilities, were as follows: PLtd S Ltd Carrying amount Carrying amount Fair value $100,000 $380,000 $100,0001 $120,000 $300,000 ASSETS Land Equipment Accumulated depreciation Shares in S Ltd Inventory Cash TOTAL ASSETS $150,000 $530,000 $300,000 $400.000 $90,000 $10,000 $880,000 $65,000 $8.000 $453,000 $76,000 $8,000 $50,000 $50,000 LIABILITIES Provisions Payables Tax liabilities TOTAL LIABILITIES $45.000 45 000 $20,000 $24,000 $15,000 $59,000 $8.000 $8,000 $103,000 NET ASSETS $821,000 $350,000 EQUITY Share capital Retained earnings TOTAL EQUITY $350.000 $471,000 $821,000 $200,000 $150.000 $350,000 The tax rate is 30% Required: 1. Calculate the goodwill 2. Prepare the business combination valuation entries and pre-acquisition entry to be included in the consolidation worksheet when constructing the consolidated balance sheet on 1 July 2014. 3.Show all of your working in the calculation