Your answer is partially correct. Try again. Dunnart Ltd owns 25% of the shares of its associate, Wallaroo Ltd. At the acquisition date, there were no differences between the fair values and the carrying amounts of the identifiable assets and liabilities of Wallaroo Ltd. For 2019-20, Wallaroo Ltd recorded an after-tax profit of $145,000. During this period, Wallaroo Ltd paid a $10,000 dividend, declared in June 2019, and an interim dividend of $8,000. The tax rate is 30%. The following transactions have occurred between Dunnart Ltd and Wallaroo Ltd: a. On 1 July 2018, Wallaroo Ltd sold a non-current asset costing $10,400 to Dunnart Ltd for $12,900. Dunnart Ltd applies a 10% p.a. on cost straight-line method of depreciation. b. On 1 January 2020, Wallaroo Ltd sold an item of plant to Dunnart Ltd for $15,000. The carrying amount of the asset to Wallaroo Ltd at time of sale was $12,500. Dunnart Ltd applies a 15% p.a. straight-line method of depreciation. C. A non-current asset with a carrying amount of $21,200 was sold by Wallaroo Ltd to Dunnart Ltd for $28,800 on 1 June 2020. Dunnart Ltd regarded the item as inventories and still had the item on hand at 30 June 2020. d. On 1 July 2018, Dunnart Ltd sold an item of machinery to Wallaroo Ltd for $6,000. This item had cost Dunnart Ltd $4,000. Dunnart Ltd regarded this item as inventories whereas Wallaroo Ltd intended to use the item as a non-current asset. Wallaroo Ltd applied a 10% p.a. on cost straight-line depreciation method. Dunnart Ltd applies the equity method in accounting for its investment in Wallaroo Ltd. Dunnart Ltd does not prepare consolidated financial statements. Required Dunnart Ltd applies AASB 128 in accounting for its investment in Wallaroo Ltd. Assuming Dunnart Ltd does not prepare consolidated financial statements, prepare the journal entries in the records of Dunnart Ltd for the year ended 30 June 2020 in relation to its investment in Wallaroo Ltd. (Enter debit entries first, followed by credit entries. Credit account titles are automatically indented when the amount is entered. Do not indent manually. Round your answers to 0 decimal places; the tolerance is +/-1.) Account and explanation Debit Credit Dividend revenue 10000 5 Dividend paid 1 20000 (Declared dividend received from associate) Dividend payable 76000 0.1.1, Dividend receivable 8000 (Interim dividend received from associate) Retained earnings Cost of sales (Share of profit of associate)