Umma Ltd$,$ a company quoted on the Nairobi Stock Exchange, has a foreign subsidiary, Mgeni Ltd$.,$ whose reporting currency is the TR$.$ The reporting currency of Umma Ltd$.$ is the Kenya Shilling $($Ksh$.).$ The financial statements of the two companies for the year ended $31$ October $2021$ were as follows:

Income statements

For the year ended $31$ October $2021$:

Ksh$.$million$$ TR $$Million$$

Revenue $40,42597,125$

Cost of sales $(35,500)(77,550)$

Gross profit $4,92519,575$

Other income $277200$

$5,20219,775$

Distribution costs $(2,640)(3,150)$

Administration expenses $(1,640)(2,100)$

Finance cost $(120)(600)$

Profit before tax $80213,925$

Tax expense $(300)(4,725)$

Dividends: Interim paid $(300)(1,448)$

Final proposed $(400)(2,304)$

Retained profit for the period $(198)(5,448)$

Statement of financial Position As at $31$ October $2021$:

Ksh$.$million$$ TR $$million$$

Non$-$current assets:

Property, plant and equipment $3,2404,860$

Investment in Mgeni Ltd $470-$

$3,7104,860$

Current assets:

Inventory $1,9908,316$

Accounts receivable $1,6304,572$

Cash at bank $2402,016$

Total assets $7,57019,764$

Equity and liabilities:

Ordinary share capital $1181,348$

Retained profits $5029,260$

$62010,608$

Non$-$current liability:

$12\%$ loan stock $1,0004,860$

Current liabilities:

Accounts payable $5,5001,932$

Current tax $5060$

Proposed dividends $4002,304$

Total equity and liabilities $7,57019,764$

Additional information:

$1.$ Umma Ltd$.$ acquired $75\%$ of the ordinary share capital of Mgeni Ltd$.$ on $1$ November $2018$ when the retained profits of Mgeni Ltd$.$ were TR $2,876$ million. The goodwill arising on the acquisition of Mgeni Ltd$.$ is considered to be an asset of Mgeni Ltd$.$ No amortization of goodwill is charged on profits.

$2.$ Other income reported by Umma Ltd$.$ is made up of interim dividend received from Mgeni Ltd$.$ Mgeni Ltd$.$ paid the dividend on $15$ July $2021.$ Other income reported by Mgeni Ltd$.$ is made up of the exchange gain on retranslating the $12\%$ loan stock. The loan stock was obtained from a foreign country.

$3.$ During the year ended $31$ October $2021,$ Umma Ltd$.$ sold goods worth Ksh$\mathrm{.}900$ million to Mgeni Ltd$.$ Umma Ltd$.$ reported a profit of $25\%$ on cost$.$ Half of these goods were still in the inventory of Mgeni Ltd$.$ as at $31$ October $2021.$

$4.$ The relevant exchange rates at select dates were as follows:

Date TR to $1$ Kenya shilling

$1$ November $20184\mathrm{.}40$

$31$ October $20204\mathrm{.}00$

$15$ July $20213\mathrm{.}92$

$31$ October $20213\mathrm{.}60$

Average for the year ended $31$ October $20213\mathrm{.}75$

Required:

a$)$ Consolidated statements of profit or loss for the year ended $31$ October $2021$ in Kenya Shillings.

b$)$ Consolidated balance sheet as at $31$ October $2021$ in Kenya shillings. $($Round the figures to the nearest $1$ million where necessary$)$