b Ltd bought a $40\%$ interest ofc Ltd at a cost of $$210,000.$ At acquisition date,

the fair value of Investee Ltd is:

Contributing equity $$300,000$

Retained earnings $$180,000$

$2$ years later, the record of Investee Ltd$.$ shows:

Contributing equity $$300,000$

Retained earnings $($opening$)$ $$225,000$

Profit after tax $$60,000$

Dividend paid $$30,000$

There is an equity increase of $$75,000$ in the post$-$acquisition period from the date of

acquisition. c Ltd$.$ paid $$30,000$ total dividend from its post$-$acquisition profits. It has

been found that there are $$unrealised gains$/$profits$$ from the sale of c Ltd$.$ to Investor

Ltd$.$ of $$12,000$ this year and $$20,000$ last year. Tax rate is $30\%.$

Required:

Prepare the journal entries for b Ltd to account for the investment in c Ltd using

the equity method of accounting under AASB$128$