Darlentina Company provided the following information for the current year: Income from continuing operations P4,000,000 Income from discontinued operations 500,000 Unrealized gain on financial asset-FVPL 800,000 Unrealized loss on equity investment - FVOCI 1,000,000 Unrealized gain on debt investment - FVOCI 1,200,000 Unrealized gain on futures contract designated as a cash flow hedge 400,000 Translation loss on foreign operation 200,000 Net "remeasurement" gain on defined benefit plan 600,000 Loss on credit risk of a financial liability at FVPL 300,000 Revaluation surplus during the year 2,500,000 1. What net amount in OCI should be reclassified to retained earnings? 2. What amount should be reported as comprehensive income for the current year?

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter21: The Statement Of Cash Flows

Section: Chapter Questions

Problem 14GI: Dunn Company recognized a 5,000 unrealized holding gain on investment in Starbuckss long-term bonds...

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Similar questions

Dunn Company recognized a 5,000 unrealized holding gain on investment in Starbuckss long-term bonds during 2019. The company classified its investment as an available-for-sale security. How would this information be reported on a statement of cash flows prepared using the indirect method?
During 20X1, Craig Company had the following transactions: a. Purchased 300,000 of 10-year bonds issued by Makenzie Inc. b. Acquired land valued at 105,000 in exchange for machinery. c. Sold equipment with original cost of 810,000 for 495,000; accumulated depreciation taken on the equipment to the point of sale was 270,000. d. Purchased new machinery for 180,000. e. Purchased common stock in Lemmons Company for 82,500. Required: 1. Prepare the net cash from investing activities section of the statement of cash flows. 2. CONCEPTUAL CONNECTION Usually, the net cash from investing activities is negative. How can Craig cover this negative cash flow? What other information would you like to have to make this decision?
Brief ExerciseRatio Analysis Valiant Corporation has $1,800,000 in total liabilities, $800,000 of which arc current. Valiant has $400,000 of cash and cash equivalents, $300,000 of other current assets, and $2,000,000 in property, plant, and equipment. Required: Calculate Valiants debt to equity ratio.
Chasse Building Supply Inc. reported net cash provided by operating activities of $243,000, capital expenditures of $112,900, cash dividends of $35,800, and average maturities of long-term debt over the next 5 years of $122,300. What is Chasses free cash flow and cash flow adequacy ratio? a. $94,300 and 0.77, respectively c. $130,100 and 1.06, respectively b. $94,300 and 0.82, respectively d. $165,900 and 1.36, respectively
Darlentina Company provided the following information for the current year: Income from continuing operations P4,000,000 Income from discontinued operations 500,000 Unrealized gain on financial asset-FVPL 800,000 Unrealized loss on equity investment - FVOCI 1,000,000 Unrealized gain on debt investment - FVOCI 1,200,000 Unrealized gain on futures contract designated as a cash flow hedge 400,000 Translation loss on foreign operation 200,000 Net "remeasurement" gain on defined benefit plan 600,000 Loss on credit risk of a financial liability at FVPL 300,000 Revaluation surplus during the year 2,500,000 1. What amount should be reported as OCI for the current…
An entity provided the following information for the current year: Income from continuing operations 4,000,000Income from discontinued operation 500,000Unrealized gain on financial asset – FVPL 800,000Unrealized loss on equity investment – FVOCI 1,000,000Unrealized gain on debt investment – FVOCI 1,200,000Unrealized gain on futures contract designated as a cash flow hedge 400,000Translation loss on foreign operation 200,000Net “remeasurement” gain on defined benefit plan during the year 600,000Loss on credit risk of a financial liability designated at FVPL 300,000Revaluation surplus during the year 2,500,000 Question 1: What net amount should be reported as other comprehensive income for the current year?a. 4,000,000 c. 3,200,000b. 3,500,000 d. 7,000,000Question 2: What amount should be reported as comprehensive income for the current year?a. 5,200,000 c. 8,500,000b. 7,700,000 d. 7,200,000
An entity reported the following information for the current year Income from continuing operations 4,000,000 Income from discontinued operation 500,000 Unrealized gain on financial asset - FVPL 800,000 Unrealized loss on equity investment – FVOCI 1,000,000 Unrealized gain on debt investment – FVOCI 1,200,000 Unrealized gain on futures contract designated as a cash flow hedge 400,000 Translation loss on foreign operation 200,000 Net “remeasurement” gain on defined benefit plan during the year 600,000 Loss on credit risk of a financial liability designated at…
An entity provided the following information for the current year:Income from continuing operations 4,000,000 Income from discontinued operation 500,000 Unrealized gain on financial asset – FVPL 800,000 Unrealized loss on equity investment – FVOCI 1,000,000 Unrealized gain on debt investment – FVOCI 1,200,000 Unrealized gain on futures contract designated as a cash flow hedge 400,000 Translation loss on foreign operation 200,000 Net “remeasurement” gain on defined benefit plan during the year 600,000 Loss on…
At the beginning of the current year, Alexis Company purchase marketable equity securities to be held as “trading” for P5,000,000. The entity also paid transaction cost amounting to P200,000.The securities had a market value of P5,500,000 at year-ended and the transaction cost that would be incurred on the sale is estimated at P100,000. No securities were sold during the current year. Assuming the company has elected irrevocably to measure the investment at FV thru OCI. What amount of unrealized gain or loss on these securities should be reported in the income statement for the current year?
PUP CAF Company, provided the following income and expenses for the current year:· Dividend income from investments- P9,200,000· Share of profit of associate- P500,000· Interest income on deposits- P700,000· Income from bank treasury bills- P100,000· Unrealized gain on derivative contracts- P400,000· Income from dealing in securities and derivatives held for trading- P600,000· Writedown of securities and derivatives held for trading- P150,000· Other income- P250,000· Finance cost- P300,000· Administrative staff costs- P3,800,000· Selling expenses- P1,200,000· Income tax expense- P1,700,000What is the total comprehensive income for the year?
7 For the year ended December 31, 2019, WQA Company reported opening retained earnings of P1,850,000 and cumulative unrealized gains recorded as reserves of P25,000. These gains are from an investment with an original cost of P100,000 and a fair value of P125,000. The company policy is to value all investments at fair value with unrealized gains and losses included in reserves. The company’s accounting policy is that when an investment is sold, the reserve amount is transferred to retained earnings. During 2020, one-half of the investment was sold. The remaining investment increased in value to P70,000. A second investment was bought for P150,000 and its fair value had increased to P165,000 by the end of 2020. What is the reserve balance at December 31, 2020? Group of answer choices P27,500 P60,000 P45,000 P35,000
ABC Company, provided the following income and expenses for the current year. Dividend income from investments- P9,200,000 Share of profit of associate- P500,000 Interest income on deposits- P700,000 Income from bank treasury bills- P100,000 Unrealized gain on derivative contracts- P400,000 Income from dealing in securities and derivatives held for trading- P600,000 Writedown of securities and derivatives held for trading-P150,000 Other income- P250,000 Finance cost- P300,000 Administrative staff costs- P3,800,000 Selling expenses- P1,200,000 Income tax expense- P1,700,000 What is the total comprehensive income for the year?

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