Using the following balance sheets and additional data, create a consolidated income statement for the year ended 31 December 2023.

Alpha Ltd Income Statement for the year ended 31 December 2023:

• Revenue: £2,500,000
• Cost of Goods Sold: (£1,400,000)
• Gross Profit: £1,100,000
• Operating Expenses: (£400,000)
• Net Profit: £700,000

Beta Ltd Income Statement for the year ended 31 December 2023:

• Revenue: £1,800,000
• Cost of Goods Sold: (£1,000,000)
• Gross Profit: £800,000
• Operating Expenses: (£300,000)
• Net Profit: £500,000

Additional Information: Alpha Ltd owns 85% of Beta Ltd. During the year, Alpha Ltd sold goods worth £300,000 to Beta Ltd at a profit margin of 20%. Beta Ltd had 40% of these goods in inventory at year-end.