On 1 January 2023, A Ltd bought all of the assets and liabilities of B Ltd for a price of £500,000. B Ltd then went into liquidation. The statements of financial position of these two companies just before this purchase were as follows:

The fair values of the assets and liabilities of B Ltd as at 1 January 2023 were agreed to be as follows

Required:(a) Calculate the amount paid by A Ltd for the goodwill of B Ltd.(b) Prepare a statement of financial position for A Ltd as it would be immediately after the purchase of the net assets of B Ltd, assuming that A Ltd paid for this purchase out of its bank account.

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Assets Non-current assets Property, plant and equipment Current assets Inventories Trade receivables Cash at bank Equity Ordinary share capital Retained earnings Liabilities Non-current liabilities Current liabilities £000 1,210 940 1,650 A Ltd £000 4,320 3,800 8,120 1,000 3,650 4,650 2,500 970 8,120 £000 220 90 B Ltd £000 460 310 770 200 390 590 180 770