On July 1, 2020, Mendoza R Corp. acquired 60,000 shares of the 200,000 shares outstanding of Palad

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On July 1, 2020, Mendoza R Corp. acquired 60,000 shares of the 200,000 shares outstanding of Palad Inc. at P25 per share. The company incurred P2 transaction cost per share. The book value of Palad Inc.'s net assets on this date amounted to P5,000,000. The fair value of one of its identifiable intangibles with a 5-year remaining life higher than book value by P50,000 while its equipment having a remaining life of 8 years had a fair value P160,000 higher than book value. All other identifiable assets had fair value approximating their book values. Palad reported total net income in 2020 at P800,000 and distributed dividends at year end at P3,000,000. Fair value of shares on this date was P32 per share while cost to sell is at P2 per share. Palad reported total comprehensive income in 2021 at P1,250,000 which is net of a foreign translation loss amounting to P150,000. It also distributed dividends at year-end at P500,000. Fair value of shares on this date was at P30 per share while cost to sell remained P2 per share. On January 1, 2022, Mendoza R Corp. sold 24,000 Palad Inc.'s share at P32 per share, its fair value on that