Parent Ltd acquired 55% of the shares of Subsidiary Ltd in the beginning of the year for $550,000. All identifiable assets and liabilities of Subsidiary Ltd are recorded at fair value on this date except for inventory for which the fair value was $10,000 smaller than carrying amount and plant which had a carrying amount of $100,000 (net of $20,000 accumulated depreciation) and a fair value of $120,000. The inventory was all sold by end of the year, and plant was depreciated at 20% per annum using the straight-line method. Additional information: 1. The income tax rate is 30%. The statement of shareholders' equity shows the following information for the year. Share capital, throughout the year $600,000 General reserve, throughout the year 100,000 Retained earnings, opening balance 200,000 Retained earnings, ending balance Dividend 280,000 0 2. During the year, Subsidiary Ltd sold inventory to Parent Ltd for $200,000, recording a before- tax profit of $30,000. Parent Ltd still has 60% of these items on hand by year end. 3. Six months before the year end, Subsidiary Ltd sold equipment to Parent Ltd for $32,000 above the carrying amount. Parent Ltd depreciates its equipment at 25% per annum using the straight- line method. 4. During the year, Parent Ltd sold inventory to Subsidiary Ltd for $95,000, recording a before- tax profit of $14,000. Subsidiary Ltd has resold 40% of these items by year end. 5. During the year, Subsidiary Ltd paid Parent Ltd $5,000 for services rendered. 6. During the year, Parent Ltd paid Subsidiary Ltd $2,000 for intrafirm loan interests. Required: 1) Calculate NCI share of profit for the year. (10 marks) 2) Calculate NCI share of equity as at year end. (8 marks)