The following information relates to Dork Ltd and its subsidiary Sark Ltd. for the year ended 31 March 2018.

Dork Ltd. Sark Ltd.

$'000 $000

Sales revenue 3,300 1,500

Cost of sales (1,890) (900)

Gross profit 1,410 600

Administrative expenses (315) (450)

Dividend from Sark 72

Profit before tax 1167 150

Income tax expense (195) (30)

Profit for the year 972 120

Dividends paid 600 90

Profit retained 372 30

Retained earnings brought forward 1,380 318

Retained earnings carried forward 1,752 348

Additional information:

1. The issued share capital of the group was as follows. Dork Ltd.: 15,000,000 ordinary shares of $1 each. Sark Ltd.: 3,000,000 ordinary shares of $1 each.

2. Dork Ltd. Purchased 80% of the issued share capital of Sark Ltd. in 2010. At that time, the retained earnings of Sark was at $168,000.

Required:

1. Insofar as the information permits, prepare the Dork group consolidated income statement for the year to 31 March 2018, showing profit attributable to both owners of the parent and non-controlling interests. (14 marks)

An extract of the Statement of Financial Position showing retained earnings and non-controlling interest. Show all accompanying workings