Question 3 (10 marks) On 1 July 2020, TMJ Led entered into a joint arrangement with CBD Led to produce a new type of widget. The joint arrangement is classified as a joint operation. It was agreed that each party to the joint operation would share the output equally. CBD Led contributed a machinery with a carry amount of $ 2,280,000, and a fair value of 2,400,000. TMJ Lid's initial contribution was $ 2,400,000 cash. During the first year of the joint operation, both parties contributed a further $ 3,600,000 each in cash. The machinery is depreciated to the nearest month. Each joint operator depreciates machinery at 20% pa. on cast in its own records. Both have sold all of the output distributed by the joint operation by 30 June 2021. Production Costs Incurred for the year ended 30 June 2021 Wages $2,208,000 Supplies 3,360,000 Overheads 2.640,000 Total costs of production 8,208,000 Less Cost of inventories (5,808,000) Work in progress at 30 June 2021 2,400,000 Cash Receipts and Payments for year ended 30 June 2021 Receipts: Original contributions $2,400,000 Additional contributions 7 200,000 9,600,000 Payments: Machinery (acquired 2 July 2020) (960,000) Wages (2,160,000) Supplies (3,600,000) Overheads (2,520,000) Operating expenses (240,000) 9,480,000 Closing cash balance 120,000 Statement of Financial Position (extract) at 30 June 2021 Cash $120,000 Machinery 3,360,000 Supplies 240,000 Work in progress 2,400,000 Total assets 6,120,000 Accrued wages 48,000 Creditors 120,000 Total liabilities 168,000 Net assets 5,952,000 Required: Prepare the journal entries in the records of CBD Led in relation to the joint operation for the year ended 30 June 2021. Round all numbers to the nearest whale dollar. Note: Show all workings related to the allocation of depreciation, where relevant, and round percentages to 2 decimal places