On 1 July 2018 Xavier Ltd acquires 70 per cent of the equity capital of Yasmin Ltd at a cost of $3.0 million. All assets of Yasmin Ltd were fairly stated, except for a Plant-stain Asset where the fair value should have been 300,000 but the carrying value was $200,000 (Cost was $500,000 and Accumulated Depreciation was $300,000). At the date of acquisition, the remaining useful life of that Plant asset was five years. The total shareholders funds of Yasmin Ltd were $2 million, as follows: share capital $1.5 million; retained earnings $0.5 million. As at 30 June 2020 (that is, two years after the date of acquisition) the financial statements of the two companies are as follows and are shown in S000: Detailed reconciliation of opening and closing retained earnings Xavier Ltd Yasmin Ltd Sales revenue 510 140 Cost of goods sold (100) (40) Other expenses (100) (30) Other revenue 60 15 Profit before tax 370 85 Tax expense (60) (30) Profit for the year 310 55 Retained earnings30 June 2019 1 000 800 1 310 855 Dividends paid (160) (30) Dividend declared (40) (10) Retained earnings30 June 2020 1 110 815 Statement of financial position Xavier Ltd Yasmin Ltd Shareholders equity Retained earnings 1 210 815 Share capital 4 000 1 500 Current liabilities Accounts payable 20 30 Dividends payable 40 10 Non-current liabilities Loans 500 250 Total of liabilities and equity 5 770 2 605 Current assets Cash 160 35 Accounts receivable 232 165 Dividends receivable 8 Inventory 500 300 Non-current assets Land 500 1 105 Plant 1 770 1 300 Accumulated depreciation (400) (300) Investment in B Ltd 3 000 Total assets 5 770 2 605 Other information The management of Xavier Ltd values any non-controlling interest in Yasmin Ltd at its fair value. During the current financial year Yasmin Ltd pays management fees of $7 000 to Xavier Ltd. This item is included in other expenses and income. During the current financial year. Xavier Ltd sold inventory-magenta, to Yasmin Ltd at a price of $33 000. The inventory cost Xavier Ltd $25 000 to produce. Fifty per cent of this inventory is still on hand with Yasmin Ltd at the end of the financial year. During the current financial year, Yasmin Ltd sold inventory-realm, to Xavier Ltd at a price of $21 000. The inventory-realm cost Yasmin Ltd $15 000 to produce. Forty per cent of this inventory is still on hand with Xavier Ltd at the end of the current financial year. In the preceding financial year, Yasmin Ltd sold inventory-periwinkle to Xavier Ltd at a price of $13 000. The inventory-periwinkle, cost Yasmin Ltd $10 000 to produce. At 30 June 2019, 20 per cent of this inventory was still held by Xavier Ltd. The management of Xavier Ltd believe that goodwill acquired has subsequently been impaired. It was impaired by $5 000 in the year to 30 June 2019, and by a further $10 000 in the year to 30 June 2020. The tax rate is 30 per cent. REQUIRED: Prepare the following. Show detailed workings for each answer in a format that includes a description of each item. a) Consolidation journal entries for the elimination of Xavier Ltd.s investment in Yasmin Ltd for the year ending 30 June 2020. (5 marks) Type answer here b) Consolidation journal entries for the fair value adjustment of the Plant-stain in Yasmin Ltd and the resulted tax effect to be done at the date of acquisition to prepare group accounts for the ending 30 June 2020. (6 marks) Type answer here c) Consolidation journal entries relating to pre-tax depreciation entry resulting because of fair value adjustment of the Plant-stain asset to prepare group accounts for the ending 30 June 2020. (3 marks) Type answer here d) Consolidation journal entries relating to tax effect result from the depreciation entry resulting because of fair value adjustment of the Plant-stain to prepare group accounts for the ending 30 June 2020. (3 marks) Type answer here e) Consolidation journal entries relating to the management fees for the year ending 30 June 2020. (2 marks) Type answer here f) Consolidation journal entries relating intra-group inventory-magenta transactions and its tax effects to prepare group accounts for the ending 30 June 2020. (6 marks) Type answer here g) Consolidation journal entries relating intra-group inventory-Realty transactions and its tax effects to prepare group accounts for the ending 30 June 2020. (6 marks) Type answer here h) Consolidation journal entries relating intra-group inventory-periwinkle transactions and its tax effects to prepare group accounts for the ending 30 June 2020. (4 marks) Type answer here i) Consolidation journal entries relating to amortisation of goodwill. (3 marks) Type answer here j) Consolidation journal entries relating to intra-group dividends. (6 marks) Type answer here k) Explain and contrast three concept-driven methods of consolidation. (6 marks) Type answer here