Question:

The summarized Statements of Financial Position of Veik Bhd, Vico Bhd and Lazz Bhd as at 31 December 2020 are as follows;

Statement of Financial Position as at 30 June 2020
	Veik Bhd	Vico Bhd	Lazz Bhd
	RM '000	RM '000	RM '000
Non- current assets
Property, plant and equipment	221,410	115,200	93,000
Investment in subsidiaries	153,100	52,100
Investment in associate	3,800
Investment in joint venture	20,000
Other long-term investment	30,000	25,000	10,000
Current assets
Inventories	14,600	20,000	7000
Trade receivable	9,000	10,000	18,000
Bank	25,730	12,010	25,640
Total assets	477,640	234,310	153,640
Equity
Ordinary shares	200,000	120,000	60,000
10% Preference shares	7,000	20,000
Retained earnings	221,900	51,510	71,140
Revaluation reserves	5,000	11,000
Non-current liabilities
8% Convertible loan stocks		600
10% Debentures	15,640	200	500
Current liabilities
Trade payable	20,100	25,000	19,000
Tax payables	8,000	6,000	3,000
Total equity and liabilities	477,640	234,310	153,640

Additional information:

1. Number of ordinary shares of each company are as follows:

Veik Bhd Vico Bhd Lazz Bhd

200,000,000 120,000,000 60,000,000

2. Investment in subsidiary and associate:

c. Veik Bhd acquired 60% of Vico Bhds ordinary shares on 1 July 2014. Retained profit of Vico Bhd on the acquisition date was reported at RM30,100,000. The fair value of nondepreciable asset of Vico Bhd was RM5,000,000 exceed its carrying value. No adjustment has been made by Vico Bhd as to account for the value.

d. Veik Bhd acquired 30% of the issued ordinary shares of Lazz Bhd on 1 January 2016. On this date, the retained profit of Lazz was RM42,000,000.

3. Veik Bhd also have 50% joint control in another company, known as Oppo Bhd 1 June 2019. Oppo Bhd reporting a retained profit on 1 June 2019 at RM1,500,000. As at 31 December 2020, the retained profit of Oppo Bhd amounted to RM2,200,000. There is no other transaction incurred during the year 2020 between this company.

4. On June 2020, Veik Bhd sold a plant to Vico Bhd. The plant carrying amount was RM230,000,000 and sold at RM280,000,000. On this date, the remaining useful life of the plant was five years. It is the group policy to depreciate its plants on a straight line method with a full years depreciation provided in the year of purchase and none in the year of disposal.

5. During the year, Lazz Bhd sold goods costing RM800,000 to Veik Bhd for RM1,000,000 at a mark-up of 20%. As at the year-end, 25% of these goods are remained unsold.

6. Included in the trade receivable of Veik Bhd is RM2,000,000 due from Vico Bhd. Vico Bhd recorded it as trade payable amounted to only RM1,000,000 since another RM1,000,000 was remitted to Veik Bhd but yet received as at 31 December 2020.

7. It is the groups policy to measure the non-controlling interest at the proportionate interest in the fair values of the net assets of the subsidiary on the date of acquisition.

Required: Prepare the Consolidated Statement of Financial Position of Veik Bhd and its group of companies as at 31 December 2020. Disclose all relevant workings.