On 1 July 2018, Bay Ltd paid $236,400 for 60% of the issued shares of Watch Ltd. At this date, the equity of Watch Ltd consisted of:

A comparison of the carrying amounts and fair values of Watch Ltd's assets at the acquisition date showed the following:

In relation to the accounts, the following information is available:

1. At acquisition date, the plant had a further 5-year life but was sold on 1 January 2020.
2. All the inventories were sold by 30 June 2019.
3. All the accounts receivable were collected by 30 June 2019.

Any valuation reserves arising on consolidation are transferred on realisation of the asset to retained earnings. The general reserve movement was from pre-acquisition equity. Dividends are recognised on declaration.

The following transactions occurred between 1 July 2018 and 30 June 2020:

Required:

1. Determine the gain on bargain purchase or goodwill as at acquisition date using the full goodwill method. Assume the fair value of the Non-Controlling Interest on 1 July 2018 was $150,000.
2. Determine the gain on bargain purchase or goodwill as at acquisition date using the partial goodwill method.
3. Prepare the consolidation journal entries for Bay Ltd using the partial goodwill method at 30 June 2019.
4. Prepare the consolidation journal entries for Bat Ltd using the partial goodwill method at 30 June 2020.