Trend Company reported the following investment in equity through other comprehensive income in its December 31, 2020 statement of financial position: Brand Company, equity instrument, at fair market value PI,200,000 Unrealised loss reported in OC1 200 000 0n December 31,2021, there was objective evidence that came to the attention of Trend Company that the investment in Brand Company is impaired. Market value of the investment was established at P800,000. What amount of impairment loss should Trend Company recognize on the investment as of December 31, 2019?
Trend Company reported the following investment in equity through other comprehensive income in its December 31, 2020 statement of financial position: Brand Company, equity instrument, at fair market value PI,200,000 Unrealised loss reported in OC1 200 000 0n December 31,2021, there was objective evidence that came to the attention of Trend Company that the investment in Brand Company is impaired. Market value of the investment was established at P800,000. What amount of impairment loss should Trend Company recognize on the investment as of December 31, 2019?
Cornerstones of Financial Accounting
4th Edition
ISBN:9781337690881
Author:Jay Rich, Jeff Jones
Publisher:Jay Rich, Jeff Jones
ChapterA2: Investments
Section: Chapter Questions
Problem 6MCQ
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Trend Company reported the following investment in equity through other comprehensive income in its December 31, 2020 statement of financial position :
Brand Company, equity instrument, at fair market value PI,200,000
Unrealised loss reported in OC1 200 000
0n December 31,2021, there was objective evidence that came to the attention of Trend Company that the investment in Brand Company is impaired. Market value of the investment was established at P800,000.
What amount of impairment loss should Trend Company recognize on the investment as of December 31, 2019?
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