Galaxy Company owned 30,000 ordinary shares of Grand Company acquired on July 31 at a total cost of P1,100,000. On December 1, Galaxy received 30,000 share rights from Grand. Each right entitles the holder to acquire one share at P45. The market price of Grand’s share on this date was P50 and the market price of each right was P10. Galaxy sold the rights on December 31, for P450,000 less a P10,000 commission. What amount should be reported as gain from the sale of the rights?

Q: On January 1, year 1, DEF Company purchased 80% of the stock of UVW for P4,000,000 cash. Prior to…

A: GIVEN   On January 1, year 1, DEF Company purchased 80% of the stock of UVW for P4,000,000 cash.…

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Q: On January 1, 20x2, Pfieter Company purchased 80 percent of the outstanding shares of Sedrosky…

A: The question is related to Consolidated Financial Statements. Required  Prepare the elimination…

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Q: On January 1, 2021, the Swiss Company purchased 10,000 ordinary shares at P80 per share to be…

A: Right shares are the shares issued after original issue to the existing shareholder to purchase more…

Q: On January 1, 2018, Parent acquired 30,000 out of 100,000 outstanding ordinary shares of Sub for…

A: When an investment in an entity increases and it is increased to the level that the investee company…

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A: The details regarding Consolidation are given. Required  Compute for the Non-controlling Interest…

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Q: Nakeeta company owned 50,000 ordinary shares which were purchased for P120 per share. During the…

A:

Q: On January 1 of the current year, Philips Company, an investor, held 10,000 shares of Sunshine…

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Consolidation

Consolidation in general examination implies an asset oscillating between well-defined methods of trading status. Consolidation is commonly known as market indecisiveness, which completes when the asset's values move forward or backward the trading structure.