areholders' equity was P5,000,000. The carrying amount of Al's identifiable net assets approximated their fair values, except for land whose fair value exceeded its carrying amount by P2,000,000. A1 reported profit of P800,000 and paid dividends of P100,000. What is the carrying amount of the investment in associates at December 31,2020? a. P2,710,000 b. P2,700,000 c. P2,670,000 d. P2,470,000
areholders' equity was P5,000,000. The carrying amount of Al's identifiable net assets approximated their fair values, except for land whose fair value exceeded its carrying amount by P2,000,000. A1 reported profit of P800,000 and paid dividends of P100,000. What is the carrying amount of the investment in associates at December 31,2020? a. P2,710,000 b. P2,700,000 c. P2,670,000 d. P2,470,000
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
On lanuary 1, 2020. BeeGees Company acquired a 30% interest in A1 Company for P2,500,000. On this date, Al's shareholders' equity was P5,000,000. The carrying amount of Al's identifiable net assets approximated their fair values, except for land whose fair value exceeded its carrying amount by P2,000,000. A1 reported profit of P800,000 and paid dividends of P100,000.
What is the carrying amount of the investment in associates at December 31,2020?
What is the carrying amount of the investment in associates at December 31,2020?
a. P2,710,000
b. P2,700,000
c. P2,670,000
d. P2,470,000
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