Baur Company acquired 20,000 ordinary shares on October 1 for P1,344,000 to be held for trading. On November 30, the investee distributed a 12% ordinary share dividend when the market price of the share was P65. On December 31, the entity sold 5,000 shares for P350,000. What amount should be reported as gain on sale of investment in the current year?
Baur Company acquired 20,000 ordinary shares on October 1 for P1,344,000 to be held for trading. On November 30, the investee distributed a 12% ordinary share dividend when the market price of the share was P65. On December 31, the entity sold 5,000 shares for P350,000. What amount should be reported as gain on sale of investment in the current year?
Chapter14: Corporation Accounting
Section: Chapter Questions
Problem 7EB: Silva Company is authorized to issue 5,000,000 shares of $2 par value common stock. In its IPO, the...
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Baur Company acquired 20,000 ordinary shares on October 1 for P1,344,000 to be held for trading. On November 30, the investee distributed a 12% ordinary share dividend when the market price of the share was P65. On December 31, the entity sold 5,000 shares for P350,000. What amount should be reported as gain on sale of investment in the current year?
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