On 1 July 2021 Quick Ltd acquired a 25% interest in Silver Ltd for a cash consideration of $400,000. On the date of the acquisition, the assets of Silver Ltd are reported at fair value. The share capital and reserves of Silver Ltd at the date of acquisition are:

Share capital	$1 000 000
Retained earnings	$500 000
Total shareholders equity	$1 500 000

(a) The following journal has been prepared in Quick Ltds accounts for the acquisition:

Dr Investment in Silver Ltd 375 000

Dr Goodwill 25 000

Cr Cash 400 000

i. You immediately identify this journal is not correct. Why?

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ii. Give the correct journal for the acquisition.

(a) For the year ending 30 June 2022, Silver Ltd records an after-tax profit of $100 000, from which it pays a dividend of $50 000. On 30 June 2022, Silver Ltd revalues its land upwards by $70 000.

The tax rate is 30%.

i. Prepare the journal entries to account for the associate for the year ending 30 June 2022 in Quick Ltds own accounts, assuming Quick Ltd has three subsidiaries and needs to prepare consolidated financial statements.

ii. Prepare the journal entries to account for the associate for the year ending 30 June 2022 in Quick Ltds own accounts, assuming Quick Ltd has no subsidiaries and does not need to prepare consolidated financial statements.