The following are the draft statement of Financial Position of Blueberry PLC and its subsidiary Apple PLC as at 31st December 2020 are given below:

	Blueberry PLC	Apple PLC
Assets	‘$’	‘$’
Non –current assets
Tangible assets	480,000	110,000
Investments: Apple PLC	220,000
Current assets
Inventories	219,600	75,600
Trade receivables	290,400	140,700
Cash and cash equivalents	60,000	75,450
Total Assets	1,270,000	401,750
Equity and liabilities
Share capital :Ordinary $1 shares	750,000	150,000
Share premium	-	18,750
Retained earnings	96,000	80,000
Non- current liabilities:
Loan	79,000	60,000
Current liabilities
Trade and other payables	345,000	93,000
Total Equity & Liabilities	1,270,000	401,750

Additional information:

1. Blueberry PLC acquired 120,000 shares in Apple PLC on 1st Jan 2020 for a cost of $ 220,000 when the retained earnings of Apple PLC were $ 30,000. The fair value of the non-controlling interest in Apple PLC at the date of acquisition was $43,500.

2. At the date of acquisition, the fair value of the net assets of Apple PLC approximated their carrying amounts, except for a plot of land owned by Apple PLC. This land was held in the financial statements of Apple PLC at its cost of $45,000 but was estimated to have a fair value of $90,000. This land is still owned by Apple PLC at 31st December 2020.

3. On 31st December 2020 Apple PLC sold goods to Blueberry PLC for $ 15,000 at a margin of 20%. One Quarter of these goods were still unsold by Blueberry PLC at the end of the year.

4. At 31st December 2020 Apple PLC ’s trade receivables include $ 84,000 due from Blueberry PLC and Blueberry PLC’s trade payable include $ 84,000 due to Apple PLC.

5. Task B – Question

   You are required to: Prepare a consolidated statement of financial position as of 31st December 2020 of Blueberry Co’s. (Provide Reference to IFRS wherever applicable, relevant workings) 

Answer rating: 100% (QA)

Consolidated balance sheet As of December 31 2020 S Assets Non current assets Tangible assets 635000 ... View the full answer