Record the consolidated journal entries necessary to prepare consolidated accounts for the year ending 30 June 2018 for the group comprising United Ltd and Exon Ltd

Complete the consolidated worksheet for the year ending 30 June 2018 .

I. Entering the consolidated journal entries in Part (a) above to the appropriate debit and credit columns in the Consolidated Worksheet; and

II. Completing the Group figures in the Consolidated Worksheet

On 1/07/2015 100% $3,292,000 United Ltd acquired: of the issued shares of Exon Ltd for: At the date of acquisition, the Owners' Equity of Exon Ltd consisted of: Share capital Plant replacement reserve Retained earnings $1,481,400 $370,400 $277,740 $2,129,540 As at 30/06/2018 The accounts of the two companies appear as follows: Sales less Cost of Goods Sold Depreciation expense Interest expense Other expenses United Ltd $ 5,267,500 3,160,500 263,300 210,700 526,900 Exon Ltd $ 2,653,800 1,724,900 132,600 73,950 90,550 Other Income plus Interest revenue Dividend revenue 0 110,900 288,000 0 less Income tax expense Net Profit after Tax Retained earnings (01/07/2017) Available for appropriation 451,500 1,053,500 1,580,100 2,633,600 189,500 442,300 462,900 905,200 Interim dividend paid Final dividend declared Retained earnings (30/06/2018) 246,900 411,500 1,975,200 123,400 164,600 617,200 Share Capital Plant replacement reserve Total Owner's Equity 4,279,600 329,200 6,584,000 1,481,400 370,400 2,469,000 Loan payable (due 30/06/2020) Dividend payable Deferred Tax Liability Other liabilities Total Liabilities 0 411,500 493,800 740,700 1,646,000 493,000 164,600 41,100 124,300 823,000 Total Liabilities & Owner's Equity 8,230,000 3,292,000 0 Assets Dividend receivable Inventory Property, Plant & Equipment Accumulated depreciation Land Investment in Exon Ltd Loan receivable Other assets Total Assets 164,600 1,152,200 2,222,100 -888,900 1,399,100 3,292,000 493,000 395,900 8,230,000 197,500 1,316,800 -263,400 1,316,800 0 0 724,300 3,292,000 Additional information: a) At date of acquisition, all identifiable net assets of Exon Ltd were recorded at fair value, with the exception of a block of land in the books of Exon Ltd. The block of land had a carrying value of: and a fair value of: $1,316,800 $1,840,000 As at 30/06/2018 b) The directors apply the impairment test for goodwill annually. The goodwill impairment write-down in the current year totalled: $636,000 On 1/07/2016 c) An equipment owned by Exon Ltd was sold to United Ltd. Cost of the equipment was: Accumulated depreciation of the equipment was: The asset was sold for: United Ltd estimated this item had a remaining useful life of: and residual value of: $588,000 $210,000 $526,000 5 years $0 On 30/06/2018 d) The opening inventory of United Ltd includes an unrealised profit of: $345,000 This inventory was transferred from Exon Ltd during the prior financial year. As at 30/6/18, all of this inventory was sold by United Ltd to external parties. e) During the current year, United Ltd purchased inventory from Exon Ltd for: This inventory had previously cost Exon Ltd: Percentage of this inventory sold to outsiders by United Ltd during the year was: $1,497,000 $598,000 50% On 1/07/2015 100% $3,292,000 United Ltd acquired: of the issued shares of Exon Ltd for: At the date of acquisition, the Owners' Equity of Exon Ltd consisted of: Share capital Plant replacement reserve Retained earnings $1,481,400 $370,400 $277,740 $2,129,540 As at 30/06/2018 The accounts of the two companies appear as follows: Sales less Cost of Goods Sold Depreciation expense Interest expense Other expenses United Ltd $ 5,267,500 3,160,500 263,300 210,700 526,900 Exon Ltd $ 2,653,800 1,724,900 132,600 73,950 90,550 Other Income plus Interest revenue Dividend revenue 0 110,900 288,000 0 less Income tax expense Net Profit after Tax Retained earnings (01/07/2017) Available for appropriation 451,500 1,053,500 1,580,100 2,633,600 189,500 442,300 462,900 905,200 Interim dividend paid Final dividend declared Retained earnings (30/06/2018) 246,900 411,500 1,975,200 123,400 164,600 617,200 Share Capital Plant replacement reserve Total Owner's Equity 4,279,600 329,200 6,584,000 1,481,400 370,400 2,469,000 Loan payable (due 30/06/2020) Dividend payable Deferred Tax Liability Other liabilities Total Liabilities 0 411,500 493,800 740,700 1,646,000 493,000 164,600 41,100 124,300 823,000 Total Liabilities & Owner's Equity 8,230,000 3,292,000 0 Assets Dividend receivable Inventory Property, Plant & Equipment Accumulated depreciation Land Investment in Exon Ltd Loan receivable Other assets Total Assets 164,600 1,152,200 2,222,100 -888,900 1,399,100 3,292,000 493,000 395,900 8,230,000 197,500 1,316,800 -263,400 1,316,800 0 0 724,300 3,292,000 Additional information: a) At date of acquisition, all identifiable net assets of Exon Ltd were recorded at fair value, with the exception of a block of land in the books of Exon Ltd. The block of land had a carrying value of: and a fair value of: $1,316,800 $1,840,000 As at 30/06/2018 b) The directors apply the impairment test for goodwill annually. The goodwill impairment write-down in the current year totalled: $636,000 On 1/07/2016 c) An equipment owned by Exon Ltd was sold to United Ltd. Cost of the equipment was: Accumulated depreciation of the equipment was: The asset was sold for: United Ltd estimated this item had a remaining useful life of: and residual value of: $588,000 $210,000 $526,000 5 years $0 On 30/06/2018 d) The opening inventory of United Ltd includes an unrealised profit of: $345,000 This inventory was transferred from Exon Ltd during the prior financial year. As at 30/6/18, all of this inventory was sold by United Ltd to external parties. e) During the current year, United Ltd purchased inventory from Exon Ltd for: This inventory had previously cost Exon Ltd: Percentage of this inventory sold to outsiders by United Ltd during the year was: $1,497,000 $598,000 50%