Question 4 On 1 July 2015, Parent Entity acquired 70% of the share capital of Subsidiary Ltd for $800,000, which represented the fair value of the consideration paid, when the share capital and reserves of Subsidiary Ltd were: Share capital $700,000 Revaluation surplus $200,000 Retained earnings $100,000 $1,000,000 All assets of Subsidiary Ltd were recorded at fair value at acquisition date, except for some plant that had a fair value $50,000 greater than its carrying amount. The The cost of the plant was $250,000 and it had accumulated depreciation of $80,000. Required Prepare the consolidation elimination and adjustments to recognise the pre-acquisition capital and reserves of Subsidiary Ltd, assuming that the NCI was measured at the proportionate share of the acquirees identifiable net assets