On 1 July 2018, Highgate Ltd acquired 45% of the share capital of Hill Ltd for $12,000. At that date the equity of Hill Ltd consisted of Share Capital $10,000 and Retained Earnings $5,000. All identifiable assets and liabilities of Hill Ltd were recorded at fair value except for the following: Carrying Amount Fair Value Inventory $1,000 $4,000 Fixtures and Fittings $5,000 $11,000 Inventory was sold in the 12 months after 1 July 2018. The fixtures and fittings were considered to have a further 5 year life. Additional Information: (i) For the year ended 30 June 2020, Hill Ltd recorded a profit before tax of $6,500 and an income tax expense of $400. A dividend of $3,000 was paid. (ii) Highgate Ltd regards Hill Ltd as an associated company. (iii) During the year ended 30 June 2020, Hill Ltd sold inventory to Highgate Ltd for $6,000. The cost of this inventory to Hill Ltd was $3,000. Highgate Ltd has resold only 35% of this inventory making a profit before tax of $1,300. (iv) On 1 January 2019, Highgate Ltd sold Hill Ltd equipment for $4,000 at a profit before tax of $1,200 to Highgate Ltd. Both companies charge depreciation of 10% p.a. straight line. (v) Assume a tax rate of 30%. Required: In accordance with AASB 128 Investments in Associates: a) Prepare the journal entry(s) in the records of Highgate Ltd in relation to the investment in Hill Ltd for the year ended 30 June 2020 assuming Highgate Ltd is not a parent company. (10 marks)