1. For the year ended February 28, 2016, Pynel Company, the 90% owned acquired subsidiary of Shally...
Question:
1. For the year ended February 28, 2016, Pynel Company, the 90% owned acquired subsidiary of Shally Corporation declared a dividend of P125,000 and had net income of P375,000. Also for that year, amortization of the current fair value differences of Pynel's identifiable net assets was P75,000. The balance of Shally Corporation's Non-controlling interest in Net Income of Subsidiary account on February 28, 2016 is:
2.
On January 2, 2016, Phane Corporation acquired an 80% investment in Sudave Company. The acquisition cost was equal to Phane's equity in Sudave's net assets at that date. On January 2, 2016, Phane and Sudave had accumulated profits of P625,000 and P125,000 respectively. During 2016, (1) Phane had net income of P250,000, which included its equity in Sudave's earnings, and declared dividends of P62,500; (2) Sudave had net income of P50,000 and declared dividends of P25,000; and (3) there were no other intercompany transactions. On December 31, 2016, the consolidated accumulated profits should be
On April 1, 2015, Parlene Inc. paid P2,125,000 for all the issued and outstanding ordinary shares of Sianca Corporation. On that date, the total cost and total fair value of Sianca's net assets are P1,575,000 and P1,625,000 respectively. In Parlene's March 31, 2016 consolidated statement of financial position, what is the amount of goodwill that should be reported as a result of this business combination?
3. On April 1, 2015, Parlene Inc. paid P2,125,000 for all the issued and outstanding ordinary shares of Sianca Corporation. On that date, the total cost and total fair value of Sianca's net assets are P1,575,000 and P1,625,000 respectively. In Parlene's March 31, 2016 consolidated statement of financial position, what is the amount of goodwill that should be reported as a result of this business combination?
Advanced Financial Accounting
ISBN: 978-0078025624
10th edition
Authors: Theodore E. Christensen, David M. Cottrell, Richard E. Baker