The following information has been extracted from the financial records of Platinum Ltd and its subsidiary Serum Ltd at 30 June 2017.

Income statement	Platinum Ltd ($)	Serum Ltd ($)
Sales revenue	198,000	112,000
Cost of goods sold	-149,000	-102,000
Gross profit	49,000	10,000
Dividend revenue	8,000	25,000
Depreciation expense	-12,000	-11,000
Other expenses	-8,000	-4,000
Profit before tax	37,000	20,000
Tax expense	-11,100	-6,000
Profit for the year	25,900	14,000
Retained earnings 30 June 2016	110,000	46,000
Interim dividend paid	0	-10,000
Retained earnings 30 June 2017	135,900	50,000
Statement of financial position
	Platinum Ltd ($)	Serum Ltd ($)
Shareholders equity
Retained earnings	135,900	50,000
Share capital	40,000	40,000
Other reserves	60,000
Current liabilities
Accounts payable	50,000	79,000
Deferred tax liability	30,000	50,000
Total liabilities and equity	315,900	219,000
Current assets
cash	120,900	84,000
inventory	100,000	100,000
Non-current assets
Investment in Serum Ltd	90,000
Deferred tax asset	5,000	35,000
Total assets	315,900	219,000

Additional information

Platinum Ltd acquired its 80% interest in Serum Ltd on 1 July 2015 for $90,000. At that date the capital and reserves of Serum Ltd were: Share Capital of $40,000 and Retained Earnings of $20,000.

At the date of acquisition, all assets of Serum Ltd were at fair value except for machinery. The fair value of machinery was greater than the carrying value by $4,000. The cost of machinery was $10,000 and accumulated depreciation was $5,000, with a remaining useful life of 4 years.

The opening inventory of Platinum Ltd as at 1 July 2016 included one-half of inventory acquired from Serum Ltd for $60,000, and that had cost $40,000 to produce. This inventory was sold outside the group during the current period.

The management of Platinum Ltd believes that goodwill acquired has been impaired. At end of 30 June 2016, the goodwill was impaired by $2,000, and at end of 30 June 2017, it has been impaired by a further $3,000.

Tax rate is 30%. Each entity pays its own tax.

The management of Platinum Ltd values any non-controlling interest in Serum Ltd at fair value.

Required: Show detailed workings for each answer in a format that includes a description of each item.

(a) Consolidation journal entries for the elimination of Platinum Ltds investment in Serum Ltd for the year ending 30 June 2017.

(b) Consolidation journal entries for the fair value adjustment of the machinery in Serum Ltd and the resulted tax effect to be done at the date of acquisition to prepare group accounts for the ending 30 June 2017.

(c) Consolidation journal entries relating to pre-tax depreciation entry resulting because of fair value adjustment of the machinery to prepare group accounts for the ending 30 June 2017.

(d) Consolidation journal entries relating to tax effect result from the depreciation entry resulting because of fair value adjustment of the machinery to prepare group accounts for the ending 30 June 2017.

(e) Consolidation journal entries relating intra-group inventory transaction and its tax effect to prepare group accounts for the ending 30 June 2017.

(f) Consolidation journal entries relating to amortisation of goodwill.

(g) Consolidation journal entries relating to intra-group dividends.

(h) Itemise and show the non-controlling interests in Platinum Ltd on acquisition date (i.e. 1 July 2015) assuming that the management of Platinum Ltd values any non-controlling interest in Serum Ltd at fair value.

(i) Itemise and show the non-controlling interest in movements in share capital and reserves between the date of Platinum Ltd.s acquisition of Serum Ltd (1 July 2009) and the beginning of the current reporting period (1 July 2016).

(j) Itemise and show the non-controlling interests of the Platinum Ltd Group for the year ending 30 June 2017.

(k) State the total non-controlling interest of the Platinum Ltd Group for the year ending 30 June 2017.