REQUIRED Prepare the consolidated statement of financial position of Parker as at 30 June 2020.

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On 1 July 2019. Parker purchased 85% of Skyklar by way of a share exchange of one new share in Parker for every two purchased in Skylar plus an immediate cash payment of $ 10.4 million. Parker's share price at the acquisition date was $ 5. Only the cash element of the consideration has been recorded by Parker. The Statement of Financial Positions of both companies as at 30 June 2020 are as follows: Parker Skylar $ 000 $ 000 Non-current assets Property, plant and equipment 38,600 20,000 Investments 17,000 1,500 55,600 21,500 Current assets Inventory Trade receivables Bank 15,000 14,500 6,000 35,500 8,000 7,000 8,000 23,000 91,100 44,500 Total assets Equity and liabilities Ordinary shares of $ 0.50 each Share premium Retained earnings Total equity 60,000 8,000 8,000 8,100 10.000 76,100 18,000 Non-current liabilities 10% loan notes 5,000 2.000 Current Liabilities Trade payables 10,000 24,500 Total equity and liabilities 91,100 44,500 The following information is relevant: 1. Skyklar's retained earnings at the date of acquisition was $ 3.8 million. 2. Parker's policy is to value the non-controlling interest at fair value at the date of acquisition. The share price of Skyklar at the date of acquisition was $ 3. 3. An impairment test carried out on 30 June 2020 revealed that consolidated goodwill was impaired by $ 2 million. 4. Skylar sold goods to Parker in the post-acquisition period at a markup of 25% for $ 20 million and 1/4 of these goods are included in the inventory of Parker at 30 June 2020 5. Parker's trade payables of $ 3 million does not tally with Skylar's trade receivables due to cash in transit of $ 1 million from Parker to Skylar. 6. The fair value of Skylar's net assets differed from its carrying values at 1 July 2019. Plant had a fair value of $ 6 million in excess of its net book value and would create additional depreciation of $ 1.5 million in the post-acquisition period June 2020