QUESTION THREE

$[25]$

The following are the trial balances of H Ltd and S Ltd at $31$ December $2024.$

$\backslash$table$[[,$H Ltd$,$S Ltd$],[$Non$-$current assets $($PPE$),185000,85000],[$Share Capital,$(200000),(80000)],[$Retained earnings $(01/01/2024),(52200),(30000)]]$ Additional information:

H Ltd acquired $60\%$ of the shares in S Ltd on $31$ December $2022$ when the retained

earnings for S Ltd was R$20000.$

S Ltd purchased all its inventories from H Ltd at cost price plus $25\%.$ The inventories

on S Ltd$\text{'}$s books amounted to R$3600$ at $31$ December $2023$ and R$10800$ at $31$

December $2024.$

Assume that the cost price or carrying amount equals the current fair value.

Required:

Prepare the abbreviated consolidated Statement of Financial Position of H Ltd and its

subsidiary.