Tom Ltd acquired all the assets and some of the liabilities of Jerry Ltd on 1 July 2023. At this time Jerry Ltd will be liquidated. The financial position of Jerry Ltd at 1 July 2023, are as follows:

The terms of the acquisitionare as follows: 1. Tom Ltd is to take over all the assets and accounts payable of Jerry Ltd. 2. Costs of liquidation of Jerry Ltd will be $700 and are to be paid out with funds supplied by Tom Ltd. 3. Preference shareholders of Jerry Ltd are to receive two fully paid preference shares in Tom Ltd for every three shares held or alternatively, $2 per share in cash payable at acquisition date. 4. Ordinary shareholders of Jerry Ltd are to receive two fully paid ordinary shares in Tom Ltd for every share held or alternatively, $5 in cash payable half at acquisition date and half on 30 June 2024. The incremental borrowing rate for Tom Ltd is 10% (hint - use table A). 5. Ordinary shares issued by Tom Ltd have a fair value of $2.20 per share, while preference shares issued by Tom Ltd have a fair value of $2.00 per share. Holders of 3,000 preference shares and 5,000 ordinary shares elect to receive the cash. 6. Debenture Holders of Jerry Ltd are to be paid in cash out of the funds provided by Tom Ltd. 7. Costs associated with the business combination incurred by Tom Ltd amount to $2,000. Required: Calculate the consideration paid by Tom Ltd to acquire Jerry Ltd and enter the journal for the acquisition in Tom's books of accounts as at 1 July 2023.

AccountsReceivableInventoriesPlant&Equipment(net)BrandsAccountsPayableDebenturesShareCapital:6,000Prefshares30,000OrdsharesRetainedEarningsCarryingAmount32,00036,00064,00016,0008,00012,00060,00036,000FairValue28,00040,00072,00010,00016,0008,160