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What is the total non-controlling interest in net income of subsidiary (NCINI5) on Dec 31, 20x5?

What is the total non-controlling interest in net income of subsidiary (NCINI5) on Dec 31, 20x5?

Intermediate Accounting: Reporting And Analysis
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 8MC
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QUESTIONS:

1. What is the total non-controlling interest in net income of subsidiary (NCINI5) on Dec 31, 20x5?

2. What is the amount of consolidated assets on Dec 31, 20x5?    

 

On January 1, 20x5, Paz acquired 80% of Shey outstanding ordinary shares for P950.000, Paz uses the cost method to record the investment account. The statement at financial position of Paz and Shey on December 31, 20x1 are as follows: Paz Shey Cash 2.500.000 1.000.000 Accounts receivables 500.000 250,000 Inventory B00,000 200,000 Investment in Shey 950.000 Land 2,000,000 - Building - net 1.200.000 - Equipment - net 600,000 500,000 Total 8.550.000 1.950,000 Current liabilities 750,000 500,000 Ordinary shares 3,000,000 650,000 Share premium 500,000 100,000 Retained earnings 4,300,000 700,000 Total 8.550,000 1.950.000 On January 1. 20x5, the assets and labities at book value of Shey approximates its fair value except for the inventory and equipment which is undervalued by P50.000 and P20.000, respectively,. The equipment has a remaining usetul lite of 5 years. Paz measures the NCI at proportionate share basis. On December 31. 20x5, Paz reported net income of P1,000,000 and paid dividends oft P400.000 while Shey reported net income of P400,000 and paid dividend of P80.000 to Paz. What is the total non controlling interest in net income of subsidiary INCINISI on December 31, 20x5? O 69.200 O 276 B00 O P0,800 B0,000
Transcribed Image Text:On January 1, 20x5, Paz acquired 80% of Shey outstanding ordinary shares for P950.000, Paz uses the cost method to record the investment account. The statement at financial position of Paz and Shey on December 31, 20x1 are as follows: Paz Shey Cash 2.500.000 1.000.000 Accounts receivables 500.000 250,000 Inventory B00,000 200,000 Investment in Shey 950.000 Land 2,000,000 - Building - net 1.200.000 - Equipment - net 600,000 500,000 Total 8.550.000 1.950,000 Current liabilities 750,000 500,000 Ordinary shares 3,000,000 650,000 Share premium 500,000 100,000 Retained earnings 4,300,000 700,000 Total 8.550,000 1.950.000 On January 1. 20x5, the assets and labities at book value of Shey approximates its fair value except for the inventory and equipment which is undervalued by P50.000 and P20.000, respectively,. The equipment has a remaining usetul lite of 5 years. Paz measures the NCI at proportionate share basis. On December 31. 20x5, Paz reported net income of P1,000,000 and paid dividends oft P400.000 while Shey reported net income of P400,000 and paid dividend of P80.000 to Paz. What is the total non controlling interest in net income of subsidiary INCINISI on December 31, 20x5? O 69.200 O 276 B00 O P0,800 B0,000
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