The "other income" section of Pigeon Company's Statement of Comprehensive Income contains P5,000 in interest income, P15,000 equity in Hole Co. earnings, and P25,000 gain on sale of available-for-sale securities. Assuming the sale of the securities increased the current portion of income tax expense by P10,000, determine the amount of Pigeon's reclassification adjustment to other comprehensive income.

The "other income" section of Pigeon Company's Statement of Comprehensive Income contains P5,000 in interest income, P15,000 equity in Hole Co. earnings, and P25,000 gain on sale of available-for-sale securities. Assuming the sale of the securities increased the current portion of income tax expense by P10,000, determine the amount of Pigeon's reclassification adjustment to other comprehensive income.

SWFT Comprehensive Volume 2019

42nd Edition

ISBN:9780357233306

Author:Maloney

Publisher:Maloney

Chapter6: Deductions And Losses: In General

Section: Chapter Questions

Problem 56P

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