Pristine Ltd (PL) acquired 90% of the capital of Silicon Ltd for $145,080 on 1 July 2027. The equity of Silicon Ltd  Ltd at this date consisted of: Share capital $100,000 Retained earnings 40,000 The carrying amounts and fair values of the assets and liabilities recorded by Silicon Ltd at 1 July 2027 were as follows: Carrying amount Fair value Inventories $ 5,000 $ 6,000 Land 45,000 50,000 Machinery (net) 100,000 110,000 All inventories on hand at 1 July 2027 are sold by 30 June 2028. The machinery has a further 10-year life beyond 1 July 2027, with benefits to be received evenly over this period. Differences between carrying amounts and fair values are recognized in the consolidation worksheet. Pristine Ltd (PL) uses the partial goodwill method. Silicon Ltd made an after-tax profit of $20,000 for the year ended 30 June 2028. Required 1. Calculate the NCI share of the BCVR (Business Combination Valuation Reserve) on the day of acquisition.  2. Calculate the NCI share of profit for the year ended 30 June 2028. 3. Provide all the necessary consolidation worksheet entries to account for the NCI (non-controlling interest) for the financial year ended 30 June 2028.

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As per the accounting standard for a business combination assets and liabilities of a target company are taken over at fair value if their fair values ... View the full answer