Uhder the75% of theDay Co. at P90 per share, the fair value on this date. Theacquisition results in Sun Co. obtaining significant influenceover Day Co. Day Co.'s total outstanding shares remain at100,000. Day Co. reports 20x1 profit of P3,300,000 (earnedevenly during the year) and declares and pays P600,000 cashdividends at year-end. Day Co.'s shares are quoted at P92 pershare on Dec. 31, 20x1. How much are reported in Sun Co.'sInvestment in associatea May 1, 20x1, Sun Co. acquires additional 12,000 shares ofs date. Anitz reportsvidends ofed evenly- share onct of theShare in profit of associatea. 660,000b. 660,000Dec. 31, 20x1 financial statements for the following?1,620,0001,840,000420,5002,208,000C. 528,000d. 440,0002,120,000eg Co.ale is as 12. What would be the effectprofit or loss if the accumulated other comprehensive incomerepresents revaluation gain (rather than translation gain) andLim Co. retains significant influence over Teg Co. after thesale?C.d.(Adaptea. 175,000b. 200,000c. 225,000d. 275,00015. JoJol13. Sun Co. accounts for its 8% interest in the 100,000 outstandingshares of Day Co. as held for trading securities. Theinvestment has a carrying amount of P800,000 on Jan. 1, 20xl.inInvestrInvest

Business combination: Business combination is defined as the process where one company acquires…

Answered: Share in profit of associate a. 660,000…

Share in profit of associate a. 660,000 b. 660,000 Investment in associate 1,620,000 1,840,000 C. 528,000 d. 440,000 2,208,000 2,120,000

SWFT Corp Partner Estates Trusts

42nd Edition

ISBN:9780357161548

Author:Raabe

Publisher:Raabe

Chapter3: Corporations: Introduction And Operating Rules

Section: Chapter Questions

Problem 10DQ

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