Question 2. Intragroup transactions Emu Ltd owns all of the shares of Cassowary Ltd. In relation to the following intragroup transactions, all parts of which are independent unless specified, prepare the consolidation worksheet adjusting entries for preparation of the consolidated financial statements as at 30 June 2019. Assume an income tax rate of 30%. (a) Emu Ltd sold inventory to Cassowary Ltd on 1 September 2018 for $27 000. This inventory had cost Emu Ltd $18 000. One-third of the inventory was sold by Cassowary Ltd to Goanna Ltd for $13 000 and one-third to Galah Ltd for $13 200. (5 marks) (b) Emu Ltd manufactures certain items which it then markets through Cassowary Ltd. During the current period, Emu Ltd sold items for $18 000 to Cassowary Ltd at cost plus 20%. Cassowary Ltd has sold 75% of these transferred items at 30 June 2019. (5 marks) (c) During June 2019, Cassowary Ltd declared a $2000 dividend. The dividend was paid in August 2019. (5 marks) (d) In January 2019, Cassowary Ltd paid a $4500 interim dividend. (5 marks) (e) Emu Ltd sold a warehouse to Cassowary Ltd for $150 000. This had originally cost Emu Ltd $123 000. The transaction took place on 1 January 2018. Cassowary Ltd charges depreciation at 5% p.a. on a straight-line basis. (5 marks) Required 1. Prepare the consolidation worksheet adjusting entries for preparation of the consolidated financial statements as at 30 June 2019. Assume an income tax rate of 30%.