From where and how we get these numbers Unser red lined

Refrence

Deegan. (2016).Financial Accounting. McGraw-Hill Education, Australia

Adjustments where investor prepares and does not prepare consolidated financial statements Brown Ltd acquired a 30% interest in Bandicoot Ltd for $50 000 cash on 1 July 2015. The directors of Brown Ltd believe this investment represents significant influence over the investee. The equity of Bandicoot Ltd at the acquisition date was: Share capital $ 30 000 Retained earnings 120 000 All the identifiable assets and liabilities of Bandicoot Ltd were recorded at fair value. Profits and dividends for the years ended 30 June 2016 to 2018 were as follows: Income tax Profit before tax expense Dividends paid 2016 $80 000 $30 000 $80 000 2017 70 000 25 000 20 000 2018 60 000 20 000 10 000 1. Prepare journal entries in the records of Brown Ltd for each of the years ended 30 June 2016 to 2018 in relation to its investment in the associate, Bandicoot Ltd. (Assume Brown Ltd does not prepare consolidated financial statements.) 2. Prepare the consolidation worksheet entries to account for Brown Ltd's interest in the associate/joint venture, Bandicoot Ltd. (Assume Brown Ltd does prepare consolidated financial statements.) 3. Calculate the carrying amount of the investment in Bandicoot Ltd at 30 June 2018.Net fair value of identifiable assets and liabilities of Bandicoot Ltd $150 000 Net fair value acquired = 30% x $150 000 = $45 000 Cost of investment $50 000 Goodwill = $5 000 1. Journal entries in the accounts of Brown Ltd: 1 July 2018 Investment in Bandicoot Ltd Dr 50 000 Cash Cr 50 000 (Acquisition of shares in Bandicoot Ltd) 2018 - 2019 Cash Dr 24 000 Investment in Bandicoot Ltd Cr 24 000 (Dividend received from Bandicoot Ltd: 30% x $80 000) 30 June 2019 Investment in Bandicoot Ltd Dr 15 000 Share of profit or loss of Cr 15 000 associates (Recognition of profit in Bandicoot Ltd: 30% x $50 000) 2019 - 2020 Cash Dr 6 000 Investment in Bandicoot Ltd Cr 6 000 (Dividend received: 30% x $20 000)