Please answer these questions below

a) What was the goodwill arising on acquisition? (4 marks)

b) At what amount should the non-controlling interest and group retained earnings appear in the consolidated statement of financial position at 31 December 20X8? (4 marks)

c) Prepare the consolidated statement of financial position of the P Group (5 marks).

3. P acquired 70% of the shares in S on 1 January 2008 when Shad retained earnings of $14,000. The market price of S's shares just before the date of acquisition was $1.50. P values NCI at fair value. Goodwill is not impaired. During the year to 31 December 20X9, S Co sold goods to P Co for $5,000, the profit to S Co being 20% of selling price. At the end of the reporting period, half of these goods remained unsold in the inventories of P Co. I The statements of financial position of P and Sat 31 December 20X8 were as follows: 1 P S $ $ Assets Non-current assets Property, plant and equipment 71,000 42,000 Shares in S 58.000 129,000 42,000 Current assets 51.000 32.000 Total Assets 180.000 74.000 Share capital - $1 shares 100.000 40,000 Retained earnings 64.000 24.000 164,000 64,000 Current liabilities 16.000 10.000 180.000 74.000 Total equity and liabilities