ABC Company filed for liquidation with the Philippine Securities and Exchange Commission. Its latest statement of financial position provided the following information: Current assets P160,000 Non-current assets 400,000 Goodwill 80,000 Total assets P640,000 Accounts payable P320,000 Mortgage payable 400,000 Share capital 200,000 Deficit (280,000) Total liabilities and P640,000 shareholders' equity Additional information: • 75% of the current assets are non-cash assets with a net realizable value of P75,000, The non-current assets are composed of real properties which has a fair value of P480,000 and is used as a security for the mortgage payable. How much is the estimated estate equity (estate deficit)?
ABC Company filed for liquidation with the Philippine Securities and Exchange Commission. Its latest statement of financial position provided the following information: Current assets P160,000 Non-current assets 400,000 Goodwill 80,000 Total assets P640,000 Accounts payable P320,000 Mortgage payable 400,000 Share capital 200,000 Deficit (280,000) Total liabilities and P640,000 shareholders' equity Additional information: • 75% of the current assets are non-cash assets with a net realizable value of P75,000, The non-current assets are composed of real properties which has a fair value of P480,000 and is used as a security for the mortgage payable. How much is the estimated estate equity (estate deficit)?
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Please answer attached photo
![ABC Company filed for liquidation with the Philippine Securities and Exchange
Commission. Its latest statement of financial position provided the following
information:
Current assets
P160,000
Non-current assets
400,000
Goodwill
80,000
Total assets
P640,000
Accounts payable
P320,000
Mortgage payable
400,000
Share capital
200,000
Deficit
(280,000)
Total liabilities and
P640,000
shareholders' equity
Additional information:
75% of the current assets are non-cash assets with a net realizable value of
P75,000,
• The non-current assets are composed of real properties which has a fair value of
P480,000 and is used as a security for the mortgage payable.
How much is the estimated estate equity (estate deficit)?](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F118d665f-25cf-403f-b172-b4eba61eec38%2F59265872-ea2a-491c-a74a-716370850b99%2F8mzkyqj_processed.jpeg&w=3840&q=75)
Transcribed Image Text:ABC Company filed for liquidation with the Philippine Securities and Exchange
Commission. Its latest statement of financial position provided the following
information:
Current assets
P160,000
Non-current assets
400,000
Goodwill
80,000
Total assets
P640,000
Accounts payable
P320,000
Mortgage payable
400,000
Share capital
200,000
Deficit
(280,000)
Total liabilities and
P640,000
shareholders' equity
Additional information:
75% of the current assets are non-cash assets with a net realizable value of
P75,000,
• The non-current assets are composed of real properties which has a fair value of
P480,000 and is used as a security for the mortgage payable.
How much is the estimated estate equity (estate deficit)?
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