The following are the statements of financial position of Pirate plc and 5- At 1 January 2010, Pirate sold a depreciable plant asset to Saint for $ Saint plc for the year ended 31 December 2010. 275. The sold plant asset had a cost of $1,000 and an accumulated de- Statement of Financial position as at 31 December 2010 preciation of $ 750. This asset is deprecated by Saint using straight line method over its remaining useful life of 5 years including full de- Pirate Saint Non-Current Assets preciation in year of purchase. Plant property and Equipment |10,350 9,520 5,485 6- Full goodwill method is used Investment in Saint plc Current Assets Inventory 1,600 1,020 Required: Prepare the consolidated Balance Sheet as at 31 December Accounts Receivable 970 600 Cash 6,031 170 2010 and make sure to show all calculations and journal entries and fill Total Asset 24,436 11,310 Current Liabilities the table below Accounts payable 1,290 1,125 Equity Pirate Saint FV ADJ 80% CI 20% NCI AD Impairment Invent AD AD Group share capital 15,50 4,800 Non- Retained Earnings 7,64 5,385 Current Total Liabilities and Equity 24,436 11,310 Asset Plant 10,350 9,520 property and The following information is also relevant Equipment Investment 5,485 D in Saint plc 1- Pirate acquired 80% of the share capital of Saint in 1 January 2009 Current when Saint plc had the following balances Assets Saint nventory 1,600 1,020 Share capital 4,800 Accounts 970 600 Retained Earnings 2,400 Receivable Cash 6,031 170 Total 24.436 11,310 2- In arriving at the consideration for the shares in Saint plc, the fair Assets Current value of Saint's PPE was agreed at $ 500 below the book value. 10 Liabilities Accounts 1,290 1,125 year remaining life for this PPE using straight line method. payable Equity 3- During the current year 2010 Piarte plc sold merchandise inventory Share 15,500 4,800 to Saint at an invoice price of $ 400 on which Pirate made a gross capital Retained 7,646 profit of 25%. One quarter (1/4) of these goods remained in the in- 5,385 Earnings ventory of Saint plc at 31 December 2010. Total 24.436 11,310 Liabilities 4- Goodwill was impaired by $ 50 during the year 2010. There was no and Equity impairment in 2009