PH $($Parent$)$ occasionally trades with SU $($Subsidiary$).$ In September

$2020$ PH sold SU goods for $4,800,000.$ PH uses a mark$-$up of one

third on cost$.$ On $30$ September $2020$ all the goods were included in

SU$$s closing inventory. PHs reporting date is September $30.$

$1.$ Reduce inventory to the cost to the group

$2.$ PURP adjustment in RE