1. What amount of property and equipment will be reported? 2. What amount of goodwill will...
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1. What amount of property and equipment will be reported? 2. What amount of goodwill will be reported? 3. What amount of consolidated retained earnings will be reported? 4. What amount of total stockholders' equity will be reported ? 5. What amount of non-controlling interest will be reported? 6. What amount of total liabilities will be reported? 7. What amount of total assets will be reported? Statement of financial position for Puro Corporation and Sato Company on December 31, 2017, are given below: Puro Corporation Sato Company P90,000 60,000 250,000 Cash and cash equivalents Inventory Property and equipment (net) Investment in Sato Company Total assets Current liabilities Long-term liabilities Common stock Retained earnings P70,000 100,000 500,000 260,000 P930,000 P180,000 200,000 300,000 250,000 P930,000 P400,000 P60,000 90,000 100,000 150,000 P400,000 Total liabilities and stockholders' equity Puro Corporation purchased 80 percent ownership of Sato Company on December 31, 2017, for P260,000. On that date, Sato Company's property and equipment had fair value of P50,000 more than the book value shown, while its long-term liabilities had market value of P150,000. All other book values approximated fair values. In the consolidated statement of financial position on December 31, 2017: 1. What amount of property and equipment will be reported? 2. What amount of goodwill will be reported? 3. What amount of consolidated retained earnings will be reported? 4. What amount of total stockholders' equity will be reported ? 5. What amount of non-controlling interest will be reported? 6. What amount of total liabilities will be reported? 7. What amount of total assets will be reported? Statement of financial position for Puro Corporation and Sato Company on December 31, 2017, are given below: Puro Corporation Sato Company P90,000 60,000 250,000 Cash and cash equivalents Inventory Property and equipment (net) Investment in Sato Company Total assets Current liabilities Long-term liabilities Common stock Retained earnings P70,000 100,000 500,000 260,000 P930,000 P180,000 200,000 300,000 250,000 P930,000 P400,000 P60,000 90,000 100,000 150,000 P400,000 Total liabilities and stockholders' equity Puro Corporation purchased 80 percent ownership of Sato Company on December 31, 2017, for P260,000. On that date, Sato Company's property and equipment had fair value of P50,000 more than the book value shown, while its long-term liabilities had market value of P150,000. All other book values approximated fair values. In the consolidated statement of financial position on December 31, 2017:
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Auditing A Practical Approach with Data Analytics
ISBN: 978-1119401742
1st edition
Authors: Raymond N. Johnson, Laura Davis Wiley, Robyn Moroney, Fiona Campbell, Jane Hamilton
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