You are required to prepare the consolidated statement of comprehensive income and the balance sheet.

Complete the following balance sheet and income statement.

On 1/07/2018 100% $2,412,000 Big Ltd acquired: of the issued shares of Small Ltd for: At the date of acquisition, the Owners' Equity of Small Ltd consisted of: Share capital Plant replacement reserve Retained earnings $1,085,400 $271,400 $203,460 $1,560,260 As at 30/06/2021 The accounts of the two companies appear as follows: Sales less Cost of Goods Sold Depreciation expense Interest expense Other expenses Big Ltd $ 3,859,500 2,315,700 192,900 154,300 402,300 Small Ltd $ 1,944,600 1,263,900 97,200 64,980 55,520 Other Income plus Interest revenue Dividend revenue 97,400 211,000 0 0 less Income tax expense Net Profit after Tax Retained earnings (01/07/2020) Available for appropriation 330,800 771,900 1,157,700 1,929,600 138,900 324,100 339,100 663,200 Interim dividend paid Final dividend declared Retained earnings (30/06/2021) 180,900 301,500 1,447,200 90,400 120,600 452,200 Share Capital Plant replacement reserve Total Owner's Equity 3,135,600 241,200 4,824,000 1,085,400 271,400 1,809,000 Loan payable (due 30/06/2023) Dividend payable Deferred Tax Liability Other liabilities Total Liabilities 0 301,500 361,800 542,700 1,206,000 361,000 120,600 30,100 91,300 603,000 Total Liabilities & Owner's Equity 6,030,000 2,412,000 Assets Dividend receivable Inventory Property, Plant & Equipment Accumulated depreciation Land Investment in Small Ltd Loan receivable Other assets Total Assets 120,600 844,200 1,628,100 -651,300 1,025,100 2,412,000 361,000 290,300 6,030,000 0 144,700 964,800 -193,000 964,800 0 0 530,700 2,412,000 Additional information: a) At date of acquisition, all identifiable net assets of Small Ltd were recorded at fair value, with the exception of a block of land in the books of Small Ltd. The block of land had a carrying value of: and a fair value of: b) The directors apply the impairment test for goodwill annually. $964,800 $1,350,000 As at 30/06/2021 $465,000 On 1/07/2019 The cumulative goodwill impairment write-downs for prior years totalled: c) An equipment owned by Small Ltd was sold to Big Ltd. Cost of the equipment was: Accumulated depreciation of the equipment was: The asset was sold for: Big Ltd estimated this item had a remaining useful life of: and residual value of: $431,000 $154,000 $385,000 5 $0 years $253,000 30/06/2021 d) The opening inventory of Big Ltd includes unrealised profit of: on inventory transferred from Small Ltd during the prior financial year. All of this inventory was sold by Big Ltd to parties external to the Group. e) During the current year, Big Ltd purchased inventory from Small Ltd for: This inventory had previously cost Small Ltd: Percentage of this inventory sold to outsiders by Big Ltd during the year was: f) Small Ltd borrowed a loan from Big Ltd amounting to: Small Ltd paid the annual interest for the intra group loan at a rate of: g) During the current year, Big Ltd paid Arina Ltd, an external party for management fees expense amouning to: $1,097,000 $438,000 50% $361,000 18% On 30/06/2021 $2,000 h) The following are dividends paid and declared by Small Ltd to Big Ltd: Interim dividend paid Final dividend declared 90,400 120,600 i) The tax rate is: 30% Big Ltd and its subsidiary Consolidated statement of financial position as at 30 June 2021 Economic Entity Assets Current Assets Dividend receivables $0 Inventory $0 Non current Assets Property Plant & Equipment Accumulated depreciation Land Investment in Small Ltd Loan receivable Goodwill Accumulated impairment losses Deferred tax asset Other assets Total assets $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 Liabilities Current Liabilities Dividend payable $0 Non-current liabilities Loan payable (due 30/06/2023) Deferred tax liability Other liabilities Total Liabilities $0 $0 $0 $0 Retained earnings (30/06/2021) Share Capital Plant Replacement Reserve BCVR/Revaluation reserve Total Shareholder's Equity $0 $0 $0 $0 $0 $0 Big Ltd and its subsidiary Consolidated statement of comprehensive income for the year ended 30 June 2021 Economic Entity Sales revenue $0 Cost of goods sold $0 Gross profit $0 less Depreciation expenses $0 Interest expenses $0 Other expenses $0 Total expenses $0 Plus Other income Interest revenue $0 Dividend revenue $0 Total other income $0 Net profit before tax $0 Income tax expense $0 Net profit after tax (NPAT) $0 NPAT Attributable to Parent (100%) SO NPAT Attributable to NCI (0%) SO 100% 0% On 1/07/2018 100% $2,412,000 Big Ltd acquired: of the issued shares of Small Ltd for: At the date of acquisition, the Owners' Equity of Small Ltd consisted of: Share capital Plant replacement reserve Retained earnings $1,085,400 $271,400 $203,460 $1,560,260 As at 30/06/2021 The accounts of the two companies appear as follows: Sales less Cost of Goods Sold Depreciation expense Interest expense Other expenses Big Ltd $ 3,859,500 2,315,700 192,900 154,300 402,300 Small Ltd $ 1,944,600 1,263,900 97,200 64,980 55,520 Other Income plus Interest revenue Dividend revenue 97,400 211,000 0 0 less Income tax expense Net Profit after Tax Retained earnings (01/07/2020) Available for appropriation 330,800 771,900 1,157,700 1,929,600 138,900 324,100 339,100 663,200 Interim dividend paid Final dividend declared Retained earnings (30/06/2021) 180,900 301,500 1,447,200 90,400 120,600 452,200 Share Capital Plant replacement reserve Total Owner's Equity 3,135,600 241,200 4,824,000 1,085,400 271,400 1,809,000 Loan payable (due 30/06/2023) Dividend payable Deferred Tax Liability Other liabilities Total Liabilities 0 301,500 361,800 542,700 1,206,000 361,000 120,600 30,100 91,300 603,000 Total Liabilities & Owner's Equity 6,030,000 2,412,000 Assets Dividend receivable Inventory Property, Plant & Equipment Accumulated depreciation Land Investment in Small Ltd Loan receivable Other assets Total Assets 120,600 844,200 1,628,100 -651,300 1,025,100 2,412,000 361,000 290,300 6,030,000 0 144,700 964,800 -193,000 964,800 0 0 530,700 2,412,000 Additional information: a) At date of acquisition, all identifiable net assets of Small Ltd were recorded at fair value, with the exception of a block of land in the books of Small Ltd. The block of land had a carrying value of: and a fair value of: b) The directors apply the impairment test for goodwill annually. $964,800 $1,350,000 As at 30/06/2021 $465,000 On 1/07/2019 The cumulative goodwill impairment write-downs for prior years totalled: c) An equipment owned by Small Ltd was sold to Big Ltd. Cost of the equipment was: Accumulated depreciation of the equipment was: The asset was sold for: Big Ltd estimated this item had a remaining useful life of: and residual value of: $431,000 $154,000 $385,000 5 $0 years $253,000 30/06/2021 d) The opening inventory of Big Ltd includes unrealised profit of: on inventory transferred from Small Ltd during the prior financial year. All of this inventory was sold by Big Ltd to parties external to the Group. e) During the current year, Big Ltd purchased inventory from Small Ltd for: This inventory had previously cost Small Ltd: Percentage of this inventory sold to outsiders by Big Ltd during the year was: f) Small Ltd borrowed a loan from Big Ltd amounting to: Small Ltd paid the annual interest for the intra group loan at a rate of: g) During the current year, Big Ltd paid Arina Ltd, an external party for management fees expense amouning to: $1,097,000 $438,000 50% $361,000 18% On 30/06/2021 $2,000 h) The following are dividends paid and declared by Small Ltd to Big Ltd: Interim dividend paid Final dividend declared 90,400 120,600 i) The tax rate is: 30% Big Ltd and its subsidiary Consolidated statement of financial position as at 30 June 2021 Economic Entity Assets Current Assets Dividend receivables $0 Inventory $0 Non current Assets Property Plant & Equipment Accumulated depreciation Land Investment in Small Ltd Loan receivable Goodwill Accumulated impairment losses Deferred tax asset Other assets Total assets $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 Liabilities Current Liabilities Dividend payable $0 Non-current liabilities Loan payable (due 30/06/2023) Deferred tax liability Other liabilities Total Liabilities $0 $0 $0 $0 Retained earnings (30/06/2021) Share Capital Plant Replacement Reserve BCVR/Revaluation reserve Total Shareholder's Equity $0 $0 $0 $0 $0 $0 Big Ltd and its subsidiary Consolidated statement of comprehensive income for the year ended 30 June 2021 Economic Entity Sales revenue $0 Cost of goods sold $0 Gross profit $0 less Depreciation expenses $0 Interest expenses $0 Other expenses $0 Total expenses $0 Plus Other income Interest revenue $0 Dividend revenue $0 Total other income $0 Net profit before tax $0 Income tax expense $0 Net profit after tax (NPAT) $0 NPAT Attributable to Parent (100%) SO NPAT Attributable to NCI (0%) SO 100% 0%