Saqa Ltd acquired 100% of the shares of Walu Ltd on 1 July 2017 for $600 000, when the equity of Walu Ltd consisted of:

Share capital	$450 000
General Reserve	70 000
Retained earnings	45 000
Asset revaluation reserve	10 800

All identifiable assets and liabilities of Walu Ltd are recorded at fair value at this date except for inventories for which the fair value was $10,000 greater than carrying amount, and plant which had a carrying amount of $150,000 (net of $40,000 accumulated depreciation) and a fair value of $170,000. The inventories were all sold by 30 June 2018, and the plant had a further 5-year life with depreciation based on the straight-line method.

Financial information for both companies at 30 June 2020 is as follows:

	Saqa Ltd ($)	Walu Ltd ($)
Sales revenue	720 000	530 000
Other revenue	240 000	120 000
	960 000	650 000
Cost of Sales	(610 000)	(410 000)
Other expenses	(230 000)	(160 000)
	(840 000)	(570 000)
Profit before tax	120 000	80 000
Tax expense	(40 000)	(25 000)
Profit for the period	80 000	55 000
Retained earnings at 1/7/19	200 000	112 000
	280 000	167 000
Dividend paid	(20 000)	(10 000)
Dividend declared	(25 000)	(15 000)
	(45 000)	(25 000)
Retained earnings at 30/6/20	235 000	142 000
Share capital	600 000	500 000
Asset revaluation surplus*	20 000	60 000
General reserve	80 000	100 000
Total equity	935 000	802 000
Dividend payable	25 000	15 000
Other liabilities	25 000	25 000
Total liabilities	50 000	40 000
Total equity and liabilities	985 000	842 000
Receivables	40 000	30 000
Inventory	100 000	170 000
Plant and equipment	200 000	500 000
Accumulated depreciation	(115 000)	(88 000)
Land at fair value	80 000	80 000
Shares in Walu Ltd	600 000	-
Deferred tax assets	50 000	40 000
Other assets	30 000	110 000
Total assets	985 000	842 000

* The balances of the surplus at 1 July 2019 were $35 000 (Saqa Ltd) and $50 000 (Walu Ltd)

The following transactions took place between Saqa Ltd and Walu Ltd:

a) During the 2019-20 period, Walu Ltd sold inventory to Saqa Ltd for $23 000, recording a profit before tax of $3 000. Saqa Ltd has since resold half of these items.

b) During the 2019-20 period, Saqa Ltd sold inventory to Walu Ltd for $18 000, recording a profit before tax of $2 000. Walu Ltd has not resold any of these items.

c) On 1 June 2020, Walu Ltd paid $1000 to Saqa Ltd for services rendered.

d) During the 2018-19 period, Walu Ltd sold inventory to Saqa Ltd. At 30 June 2019, Saqa Ltd still had inventory on hand on which Walu Ltd had recorded a before-tax profit of $4000. e) On 1 July 2018, Walu Ltd sold plant to Saqa Ltd for $150 000, recording a profit of $20 000 before tax. Saqa Ltd applies a 10% p.a. straight-line method of deprecation in relation to assets.

Required:

Prepare the consolidation worksheet entries for Saqa Ltd for the year ended 30 June 2020. Assume an income tax rate of 30%.