Post Consolidation Entries:

Additional information:

At date of acquisition, all identifiable net assets of Sub Ltd were recorded at fair value, with the exception of a block of land in the books of Sub Ltd. The block of land had a carrying value of: 9,58,400 and a fair value of: 13,40,000

On the date of acquisition :A non-current asset owned (Plant) by Chief Ltd was sold to Sub Ltd. Cost of the asset was: 4,28,000 Accumulated depreciation of the asset was: 1,53,000 The asset was sold for: 3,83,000 Sub Ltd estimated this item had a remaining useful life of: 4 years and residual value of: 0

on 30/6/22:

• The directors apply the impairment test for goodwill annually. As at 30/06/2022 The directors have determined the goodwill should be completely written off. The cumulative goodwill impairment write-downs for prior years totalled: 4,63,000
• The opening inventory of Chief Ltd includes unrealised profit of: 2,51,000 on inventory transferred from Sub Ltd during the prior financial year. By 30/06/2022 all of this inventory was sold by Chief Ltd to parties external to the Group.
• During the current year, Chief Ltd purchased inventory from Sub Ltd for: 10,90,000. This inventory had previously cost Sub Ltd: 4,36,000 Percentage of this inventory sold to outsiders by Chief Ltd during the year was: 50%.
• Chief Ltd holds debentures in Sub Ltd amounting to: 3,59,000On 30/06/2022 Sub Ltd paid the annual interest in debentures at a rate of: 14%
• Chief Ltd holds no investment in shares except for those held in Sub Ltd. Accordingly, examination of the dividend revenue and dividend receivable accounts in Chief Ltd's financial statements indicates that Chief Ltd has recognised dividend revenue prior to receipt.
• The tax rate is: 30%