The following accounts are the consolidated statement of financial position and parent company statement of financial position for Alpha Ltd as at 30 June 20X2.

Notes:
(i) There was only one subsidiary called Beta Ltd.
(ii) There were no capital reserves in the subsidiary.
(iii) Alpha produced inventory for sale to the subsidiary at a cost of £3,360 in May 20X2. The inventor y was invoiced to the subsidiary at £4,200 and was still on hand at the subsidiary’s warehouse on 30 June 20X2. The invoice had not been settled at 30 June 20X2.
(iv) The retained earnings of the subsidiary had a credit balance of £16,800 at the date of acquisition. No fair value adjustments were necessary.
(v) There was a right of set-off between overdrafts and bank balances.
(vi) The parent owns 90% of the subsidiary.
Required:
(a) Prepare the statement of financial position as at 30 June 20X2 of the subsidiary company from the information given above. The non-controlling interest is measured using method 1.
(b) Discuss briefly the main reasons for the publication of consolidated accounts.

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Parent company statement of financial position statement of financial position 140,000 Non-controlling interest 324,613 Non-current assets 121,604 5 24,360 216,393 22,920 Current llablitdes 140,420 27,160 67,580 140,840 48,813 324,613 7,920) 267,680 1