Required: Part A: Prepare the consolidation elimination journal entries required for the above intra- group transactions. Show workings and calculations. (16 marks) Paragraph BIUASE OH + v . .. Date Accounts Dr Cr R F9 F10 F11 F6 F7 F8 F3 F4 F5 A- A+ Pause # S % 6 8 9e =t Question 19 (16 points) + Saved Cobra Ltd is a wholly owned subsidiary of Mongoose Ltd. The rate of company income tax is 30%. During the year ended 30 June 2023 the accounts revealed: i Cobra Ltd. paid management fees of $30,000 to Mongoose Ltd. il Mongoose Ltd sold inventory for $35,000 to parties external to the group. Cobra Ltd had previously sold this inventory to Mongoose Ltd for $30,000. The inventory had cost Cobra Ltd $20,000. iii Mongoose Ltd sold inventory to Cobra Ltd for $80,000. This inventory had cost Mongoose Ltd $40,000. Cobra Ltd sold three-quarters of this inventory to parties external to the group. iv. On 1 July 2022, Cobra Ltd sold machinery to Mongoose Ltd for $300,000. The machinery was originally purchased by Cobra Ltd on 1 July 2018. The carrying amount of the machinery at the time of sale was $240,000 (cost $400,000, accumulated depreciation $160,000). The machinery is assessed as having a remaining useful life of 5 years from the date of sale. Straight-line depreciation is used. The tax rate is 30% Required: Question 20 (4 points) Part B: Explain in your own words why the adjustments for ii) and iv) are required. (4 marks) Paragraph V BIUAE + T R . F10 F11 F4 F5 F6 F7 F8 F9 2 F3 AL A+ Pause Z' LL 1% &