On 1st January 2021, TNT Plc bought 27,000,000 ordinary shares of the shares of RWT Ltd. At this date.

Statements of Financial Position as at 31 December 2021:

	TNT Plc	RWT Ltd
	000	000
Non-Current Assets
Property, Plant and Equipment at NBV	196,875	90,000
Investments in RWT Ltd	18,375
	215,250	90,000
Current Assets	56,625	24,000
Total assets	271,875	114,000
Current Liabilities	43,890	15,000
Long Term Loans	105,000	30,000
Total Liabilities	148,890	45,000
Equity
Share Capital (0.4 share)	30,000	45,000
Share Premium	45,000	15,000
Retained Earnings	47,985	9,000
Total equity	122,985	69,000
Total Liabilities and equity	271,875	114,000

You are also given the following information:

1. The fair values of the non-current assets of RWT Ltd at 1

January 2021 were 99,000,000 as compared with their book value of 99,000,000. 2. RWTs retained earnings at 1 January 2021 were 6,000,000.

Required

1. Calculate total non-current assets and retained earnings number that should be reported in TNTs consolidate statement Of financial position.
2. Critically evaluate the accounting for Property, Plant and Equipment under IAS 16 Property, Plant and Equipment.[18 marks]