On 1 July 2020, Big Ltd acquired all the shares of Ben Ltd on an ex-div. basis. Big Ltd paid $700,000 cash and issued 20,000 shares which had a fair value of $30.00 on acquisition date. On this date, Ben Ltd included the following balances: Share capital $200,000 General reserve 5,000 Retained earnings 45,000 Dividend Payable ex div basis 10,000 Goodwill 3,000 At acquisition date, all the identifiable assets and liabilities of Ben Ltd were recorded at amounts equal to fair value except for: Carrying amount($) Fair value($) Useful life at acquisition date Land 1,200,000 2,000,000 Not applicable Plant and equipment (cost $900,000) 800,000 950,000 5 years Inventories 18,000 28,000 100% sold externally during the year ended 30/6/2021 Any valuation reserves created are transferred on consolidation to retained earnings when assets are sold or fully consumed. Dividends were paid and declared by Ben Ltd during the current financial year