On 1 January 2012, T Ltd paid $5,000,000 to acquire 40% of the issued capital of S

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On 1 January 2012, T Ltd paid $5,000,000 to acquire 40% of the issued capital of S Ltd. This investment allowed T Ltd to obtain significant influence over Space Ltd. T is also a parent entiry and has elected to adopt the cost model in its single entiry financial statements, and equity accounting in its consolidation financial statements. The following movements have occurred in the equity of S Ltd since the date of acquisition.

	$000
Retained earnings at date of acquisition 1 Jan 2012	1,300
Movement to 31 Dec 2019	45,000
Opening balance of retained earnings 1 Jan 2020	5,800
Net profit after tax for the year ended 31 Dec 2020	800
Transfer to Gerneral Reserve	-400
Dividend paid on 30 June 2020	-200
Retained earnings of S Ltd at 31 Dec 2020	6,000

Asset Revaluation Surplus as at date of acquisition 1 Jan 2012	1,200
Revaluation increment of land 1 May 2016	500
Asset Revaluation Surplus at 31 Dec 2020	1,700

Additional information: S Ltd sold inventory to T Ltd for $900,000 on 30 June 2020, at original cost plus 50%. 30% of this inventory was still on hand with T Ltd at 31 Dec 2020. There was no unrealised profit in inventory at 31 Dec 2019. There has been no indication of impairment in any year since the date of acquisition. Income tax rate was 30%.

In accordace with AASB128: Investment in Associate and Joint Ventures, prepare the equity accounting journal entries for the T Ltd Group consolidated financial statements at 31 Dec 2020, to account for its investment in S Ltd. Include narrations and workings.

In accordace with AASB112: Income Taxes, prepare a further journal entry to record the temporary tax difference between the consolidated carrying value and tax base of the 'Investment in S Ltd' account at 31 Dec 2020. Include narrations and workings.