Transaction 1: Fernando Ltd sold inventory to its subsidiary company on 1 July 2021 for $165,000. This inventory cost Fernando Ltd $135,000. The subsidiary plans to use this inventory as an item of plant. The subsidiary charges depreciation at a rate of 10% on cost. (8 marks) Suggested time: {3 minutes) Consolidation entry 30 June 2022: Account name Debit ($) Credit (S) Proceeds on sale of Plant 165,000 Carrying amount of Plant sold 135,000 Inventory 30,000 Income Tax Expense 9,000 Deferred Tax Liability (DTL) 9,000 Transaction 2: Fernando Ltd sold inventory for $110,000 to its subsidiary on 30 April 2022. Fernando Ltd had paid $82,000 for this inventory. On 30 June 2022 the subsidiary company undertook a stocktake which reported 25% of this inventory had been sold to external parties for $122,000. (4 marks} Suggested time: (2 minutes) Consolidation entry 30 June 2022: Sales 122,000 ITE (Income tax expense} Cost of goods sold expense 7,000