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600.000 Goodwill 100,000 ? The machinery will appear on the consolidated balance sheet at

600.000 Goodwill 100,000 ? The machinery will appear on the consolidated balance sheet at

FINANCIAL ACCOUNTING
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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6. Malachi Company purchased 80% of the voting ordinary shares of Lamentations Company for P900,000. There are no liabilities recorded in the books of the acquire. Non-controlling interest is measured at proportionate share of Lamentation's identifiable net assets. The following book and fair values are available for Lamentations as of the date of acquisition: Book Value Fair Value Current assets P100,000 P200.000 Land and building 200,000 200.000 Machinery 300.000 600.000 Goodwill 100,000 The machinery will appear on the consolidated balance sheet at
Transcribed Image Text:6. Malachi Company purchased 80% of the voting ordinary shares of Lamentations Company for P900,000. There are no liabilities recorded in the books of the acquire. Non-controlling interest is measured at proportionate share of Lamentation's identifiable net assets. The following book and fair values are available for Lamentations as of the date of acquisition: Book Value Fair Value Current assets P100,000 P200.000 Land and building 200,000 200.000 Machinery 300.000 600.000 Goodwill 100,000 The machinery will appear on the consolidated balance sheet at
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