P made a 75% investment of Ksh.20 million in H on 31.12.2006 when the net assets of H were Ksh.24 million (issued capital Ksh.12 million plus retained earnings Ksh.12 million). On 31.12.2007, H made a 60% investment of Ksh.10 million in S when the net assets of S were Ksh.15 million (issued capital Ksh.10 million plus retained earnings Ksh.5 million).None of the entities has issued new shares since 31.12.2006. There has been no impairment of goodwill since the acquisitions. The group policy is to value non-controlling interest at the proportionate share of net assets of the subsidiary. The summarised statement of nancial position at 31.12.2008 and income statement of the three entities are shown below:

Statement of financial position

	P		H			S
	Ksh."million"		Ksh."million"			Ksh."million"
Investment in subsidiaries	20		10
Non-current assets	30		20			20
Net current assets	10		6			5
	60		36			25
Issued capital	30		12			10
Retained earnings	30		24			15
	60		36			25
Income statement
		P		H	S
		Ksh."million"		Ksh."million"	Ksh."million"
Revenue		100		80	60
Cost of sales		50		40	30
Gross profit		50		40	30
Other operating expenses		25		20	15
Investment income (intra-group)		6		3
Profit before tax		31		23	15
Income tax expense		9		6	5
Profit for the period		22		17	10

Required:

Prepare consolidated statement of financial position of the P group as at 31:12:2008 and the income statement for the year ended 31.12.2008.