19. On May 01, 2020, Maria Company acquired the net assets of Luisa Company for a consideration transferred of P32,000,000. At the acquisition date, the carrying amount of Luisa's net assets was P20,000,000 & a temporary appraisal of P28,000,000 was attributed to the net assets. At December 31, 2020, a provisional fair value of P26,000,000 was attributed to the net assets. An additional valuation received on March 31, 2021 increased this provisional fair value by P2,000,000 and on June 01, 2021 this fair value was finalized with a decrease by P4,000,000 from the last valuation date.

19. On May 01, 2020, Maria Company acquired the net assets of Luisa Company for a consideration transferred of P32,000,000. At the acquisition date, the carrying amount of Luisa's net assets was P20,000,000 & a temporary appraisal of P28,000,000 was attributed to the net assets. At December 31, 2020, a provisional fair value of P26,000,000 was attributed to the net assets. An additional valuation received on March 31, 2021 increased this provisional fair value by P2,000,000 and on June 01, 2021 this fair value was finalized with a decrease by P4,000,000 from the last valuation date.

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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