1. The profit attributable to equity holders of Power for 2019 is 2. The consolidated Net income for 2019 should be Income statement information for the year 2019 from the separatefinancial statements of Power corporation and its 75% ownedsubsidiary, Speed corporation is as follows:P CorpP1,000,00020,000500,000100,000S corpSalesP460,000Gain On sale of buildingCost of SalesDepreciation expenseOther operating expense260,00060,00040,000P100,000200,000P220,000Net incomePower gain on sale of builing relates to a building with a book value ofP40,000 and a 10-year remaining useful life that was sold to Skype forP60,000 on January 1, 2018. Skype declared P100,000 dividends during theyear.

Consolidated net income is the sum of income of parent and subsidiary. The income of parent is fully…

Answered: 1. The profit attributable to equity…

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Accounting

1. The profit attributable to equity holders of Power for 2019 is 2. The consolidated Net income for 2019 should be

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Concept explainers

Consolidation

Consolidation in general examination implies an asset oscillating between well-defined methods of trading status. Consolidation is commonly known as market indecisiveness, which completes when the asset's values move forward or backward the trading structure.

Question

1. The profit attributable to equity holders of Power for 2019 is

2. The consolidated Net income for 2019 should be

Income statement information for the year 2019 from the separate
financial statements of Power corporation and its 75% owned
subsidiary, Speed corporation is as follows:
P Corp
P1,000,000
20,000
500,000
100,000
S corp
Sales
P460,000
Gain On sale of building
Cost of Sales
Depreciation expense
Other operating expense
260,000
60,000
40,000
P100,000
200,000
P220,000
Net income
Power gain on sale of builing relates to a building with a book value of
P40,000 and a 10-year remaining useful life that was sold to Skype for
P60,000 on January 1, 2018. Skype declared P100,000 dividends during the
year.

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