On January 1, 20x1, ABC Co. purchased 1,000 shares of XYZ, Inc. for P250,000. Commission paid...

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On January 1, 20x1, ABC Co. purchased 1,000 shares of XYZ, Inc. for P250,000. Commission paid to broker amounted to P10,000. The equity securities were designated by management to be measured at fair value through profit or loss. On December 31, 20x1, the shares are quoted at P200 per share. It was estimated that transaction cost of P20 per share will be incurred if the shares were sold on that date. How much is the unrealized gain (loss) on change in fair value recognized in the 20x1 profit or loss? On January 1, 20x1, ABC Co. purchased 1,000 shares of XYZ, Inc. for P250,000. Commission paid to broker amounted to P10,000. The equity securities were designated by management to be measured at fair value through profit or loss. On December 31, 20x1, the shares are quoted at P200 per share. It was estimated that transaction cost of P20 per share will be incurred if the shares were sold on that date. How much is the unrealized gain (loss) on change in fair value recognized in the 20x1 profit or loss?

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To calculate the unrealized gain loss on the change in fair value reco... View the full answer