On January 1, 2021, Eno Company purchased 80% of Zosi Co's P10 par common stock for P2,437,500. On this date, the carrying value of Zosi's net assets was P2,500,000. The fair value of Zosi's identifiable assets and liabilities approximates their book values except for plan assets (12 years original useful life), purchased Dec 31, 2018, which were P250,000 in excess of the carrying amount. For the year ended December 31, 2021, net income amounted to P475,000 and cash dividends paid was P250,000. In December 31, 2021 consolidated statement of financial position, non-controlling interest should be reported at:
On January 1, 2021, Eno Company purchased 80% of Zosi Co's P10 par common stock for P2,437,500. On this date, the carrying value of Zosi's net assets was P2,500,000. The fair value of Zosi's identifiable assets and liabilities approximates their book values except for plan assets (12 years original useful life), purchased Dec 31, 2018, which were P250,000 in excess of the carrying amount. For the year ended December 31, 2021, net income amounted to P475,000 and cash dividends paid was P250,000. In December 31, 2021 consolidated statement of financial position, non-controlling interest should be reported at:
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
Chapter13: Investments And Long-term Receivables
Section: Chapter Questions
Problem 1MC
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Transcribed Image Text:On January 1, 2021, Eno Company purchased 80% of Zosi Co.'s P10 par common stock for P2,437,500.
On this date, the carrying value of Zosi's net assets was P2,500,000. The fair value of Zosi's identifiable
assets and liabilities approximates their book values except for plan assets (12 years original useful
life), purchased Dec 31, 2018, which were P250,000 in excess of the carrying amount. For the year
ended December 31, 2021, net income amounted to P475,000 and cash dividends paid was P250,000.
In December 31, 2021 consolidated statement of financial position, non-controlling interest should be
reported at:
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