Rose Hills Ltd owns all of the share capital of Seven HillsLtd. The income tax rate is 30%. The following transactions took place during the periods ended 30 June 2022 or 30 June 2023. (a) Seven Hills Ltd sold some land to Rose Hills Ltd in December 2021. The land had originally cost Seven HillsLtd $25 000, but was sold to Rose Hills Ltd for only $20 000. To help Rose Hills Ltd pay for the land, Seven HillsLtd gave Rose Hills Ltd an interest-free loan of $12 000, and the balance was paid in cash. The land was sold to external entities in June 2022 for $30 000 and immediately after that, Rose Hills Ltd paid the amount owed to Seven Hills Ltd. (b) On 1 July 2021, Rose Hills Ltd sold equipment costing $10 000 to Seven Hills Ltd for $12 000. Rose Hills Ltd had not charged any depreciation on the asset before the sale as it just purchased it from an external entity. Both entities depreciate items of equipment at 10% p.a. on cost. The equipment is still held by Seven Hills Ltd at 30 June 2023. (c) On 1 July 2021, Seven HillsLtd sold a building to Rose Hills Ltd for $200 000 in cash. This item had an original cost of $500 000 and accumulated depreciation at time of sale to Seven HillsLtd of $250 000. The remaining useful life of that building is estimated to be 10 years and the future economic benefits are assumed to be derived consistently throughout the life. The building was sold to external entities on 1 April 2023 for $210 000. (d) On 1 July 2022, Rose Hills Ltd sold an item regarded as equipment, to Seven Hills Ltd which regarded it as inventories. At the time of the sale, the carrying amount of the item to Rose Hills Ltd was $5000 and it was sold to Seven HillsLtd for $4000. The item is sold to an external entity by Seven HillsLtd by 30 June 2023. (e) On 1 October 2022, Rose Hills Ltd sold an item of machinery to Seven Hills Ltd for $6000. This item had cost Rose Hills Ltd $4000. Rose Hills Ltd regarded this item as inventories whereas Seven HillsLtd intended to use it as a non-current asset. Seven Hills Ltd charges depreciation at the rate of 10% p.a. on cost. The machine was sold to external entities on 1 April 2023 for $5000.

Rose Hills Ltd owns all of the share capital of Seven HillsL.t. The income tax rate is 30%. The following transactions took place during the periods ended 30 June 2022 or 30 .June 2023 (a) Seven HillsLtd sold some land to Rose Hills Ltal in December 2021. The land had originally cost Seven HillsLtd $25000, but was sold to Rose Hills L.td for only $20 000. To help Rose Hills Ltd pay for the land, Seven HillsLtd gave Rose Hills Litd an interest-free loan of $12000, and the balance was paid in cash. The land was sold to external entities in June 2022 for $30000 and immediately after that, Rose Fills Lit paid the amount owed to Seven HillsLtd. (b) On 1 July 2021, Rose Hills Ltd sold equipment costing $10000 to Seven HillsLtd for $12000. Rose Hills L.td had not charged any depreciation on the asset before the sale as it just purchased it from an external entity. Both entities depreciate items of equipment at 10% p.a. on cost. The equipment is still held by Seven Hillsitd at 30 June 2023. (c) On 1 July 2021, Seven HillsLtd sold a building to Rose Hills Ltd for $200000 in cash. This item had an original cost of $500000 and accumulated depreciation at time of sale to Seven HillsLtd of $250000. The remaining useful life of that building is estimated to be 10 years and the future economic benefits are assumed to be derived consistently throughout the life. The building was sold to external entities on 1 April 2023 for $210000 (d) On 1 July 2022, Rose Hills Ltd sold an item regarded as equipment, to Seven HillsLtd which regarded it as inventories. At the time of the sale, the carrying amount of the item to Rose Hills Ltd was $5000 and it was sold to Seven Hillstd for $4000. The item is sold to an external entity by Seven HillsLtd by 30June2023. (e) On 1 October 2022 , Rose Hills Ltd sold an item of machinery to Seven Hillstd for $6000. This item had cost Rose Hills Ltd $4000. Rose Hills Ltd regarded this item as inventories whereas Seven Hillstd intended to use it as a non-current asset. Seven HilsLtd charges depreciation at the rate of 10% p.a. on cost. The machine was sold to external entities on 1 April 2023 for $5000. Required In relation to the above intragroup transactions: Prepare adjusting journal entries for the consolidation worksheet at 30 June 2022