SSA Foods Ltd is a public company listed on the JSE Limited in South Africa. The company is Africa's leading fast-food restaurant franchisor. To expand their business, SSA Foods Ltd purchased an 85% shareholding in FlameGrilled Ltd on 1 July 2021. Each share entitles the shareholder to one vote. FlameGrilled Ltd is a franchised fastfood restaurant specialising in flamed-grilled meals. FlameGrilled Ltd's restaurants are located all over South Africa. From 1 July 2021, SSA Foods Ltd had control of FlameGrilled Ltd in accordance with IFRS 10 Consolidated Financial Statements. Both companies have a 30 June year-end. As of 30 June 2022, the following trial balances are presented to you (you may assume that the amounts are correct, except where otherwise indicated in the information below).

	SSA Foods Ltd	FlameGrilled Ltd
Debits	R	R
Other Investments	5 919 679	-
Equipment	672 021	1 436 994
Investment in FlameGrilled Ltd	583 000	-
Inventory	254 481	241 976
Trade Receivables	667 933	-
Cash and cash equivalents	234 791	214 000
Cost of sales	2 187 948	555 104
Other expenses	985 414	587 032
Income tax expense	664 249	66 714
Finance costs	-	54 688
Dividend paid (paid on 30 May 2022)	81 000	35 000
Total	12 250 516	3 191 508

	SSA Foods Ltd	FlameGrilled Ltd
Credits	R	R
Issued ordinary share capital	500 000	250 000
Retained earnings – 1 July 2021	5 255 028	345 871
Long-term loan	-	546 880
Deferred tax	321 864	132 479
Trade payables	479 877	428 517
Revenue	5 657 871	1 487 761
Other income	35 876	-
total	12 250 516	3 191 508

Investment in FlameGrilled Ltd:

• The investment was acquired on 1 July 2021, and all the assets and liabilities of FlameGrilled Ltd were deemed to be fairly valued on the acquisition date, except for the following:

o Braai equipment with a carrying amount of R761 626 had a fair value of R850 000 on 1 July 2021. The equipment had a useful life of 3.5 years remaining on this date.

o No additional assets, liabilities, or contingent liabilities were identified at the acquisition date.

• The following intragroup transactions took place within the group during the year ended 30 June 2022:

o From 1 July 2021, SSA Foods Ltd purchased braai sauce from FlameGrilled Ltd at a cost plus 33,33%.

o Total intragroup sales recorded by FlameGrilled Ltd for the 2022 financial year amounted to R120 000.

o Included in the closing inventory of SSA Foods Ltd on 30 June 2022 was inventory amounting to R89 657 purchased from FlameGrilled Ltd

Additional information:

• SSA Foods Ltd accounts for investments in subsidiaries at cost in its separate financial statements.

• It is the accounting policy of SSA Foods Ltd to account for property, plant, and equipment using the cost model in accordance with IAS 16 Property, Plant, and Equipment.

• The SSA Foods Ltd Group provides depreciation on property, plant, and equipment items using the straight-line method over the asset's remaining useful life.

• There was no change in the issued ordinary share capital of FlameGrilled Ltd during the 2022 financial year.

• You may assume that all income tax-related entries have been correctly accounted for in the separate accounting records of SSA Foods Ltd.

SSA Foods Ltd has elected to measure the non-controlling interests of FlameGrilled Ltd at fair value on the acquisition date. The fair value of the non-controlling interests of FlameGrilled Ltd amounted to R105 000 on 1 July 2021.

• Assume a normal income tax rate of 28% and a capital gains tax inclusion rate of 80%. Ignore Value Added Tax (VAT) and Dividend Tax.

• None of the companies are considered a share trader for income tax purposes or an investment entity as defined in IFRS 10 Consolidated Financial Statements

REQUIRED:

Prepare the Consolidated Statement of Financial Position of the SSA Foods Ltd Group as at 30 June 2022.

Comparative amounts are not required.