Chancellor Limited provided a loan of $1 500 000 to its subsidiary Park Limited. On consolidation, which of the following adjustments is needed in relation to this intragroup loan?
I. No adjustment needed
II. Dr Loan receivable from subsidiaries $1 500 000
Cr Loan payable to parent $1 500 000
III. Dr Loan payable from parent $1 500 000
Cr Loan receivable from subsidiaries $1 500 000
IV. Dr Loan payable to parent $1 500 000
Cr Cash $1 500 000