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Q2. Ron bought 80,000 shares in Harry on 1 Jan X0 for 104,000 when Harry had reserves showing a retained loss of 20,000. Harry has
Q2. Ron bought 80,000 shares in Harry on 1 Jan X0 for 104,000 when Harry had reserves showing a retained loss of 20,000. Harry has had 100,000 shares of 1 nominal value throughout the period. The fair value of Harry's assets on 1 Jan X0 was the same as their NBV. During the year to 31/12/X0, Ron sold goods to Harry for 30,000, which included a profit of 12,000. At 31/12/X0,2/3 of the goods were still in Harry's stock. Harry has paid its dividend; Ron's dividend has been proposed, but not paid at the year end. Based on the respective income statements of Ron and Harry below, prepare a consolidated Income Statement for Ron Group for the year ending 31/12/X0
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