Beyonce Company purchased 10,000 shares of Taylor company's ordinary shares at P80 per share in 2021. Beyonce designated the equity investment as at FVPL. Fair value at Dec. 31, 2021 was P100/ share. In 2022, Taylor issued rights to its shareholders to purchase one ordinary share for every five rights plus P75. In 2022, Beyonce sold 2,000 stock rights at P10 and exercise the remaining rights by purchasing additional shares. At this date Taylor's ordinary shares are selling at P105 per share. At December 31, 2022, the FV of equity securities is P110/share. At what amount should this equity investment-FVOCI be reported by Beyonce at December 31 2022?
Beyonce Company purchased 10,000 shares of Taylor company's ordinary shares at P80 per share in 2021. Beyonce designated the equity investment as at FVPL. Fair value at Dec. 31, 2021 was P100/ share. In 2022, Taylor issued rights to its shareholders to purchase one ordinary share for every five rights plus P75. In 2022, Beyonce sold 2,000 stock rights at P10 and exercise the remaining rights by purchasing additional shares. At this date Taylor's ordinary shares are selling at P105 per share. At December 31, 2022, the FV of equity securities is P110/share. At what amount should this equity investment-FVOCI be reported by Beyonce at December 31 2022?
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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Transcribed Image Text:Beyonce Company purchased 10,000 shares of Taylor company's ordinary shares at P80 per share
in 2021. Beyonce designated the equity investment as at FVPL. Fair value at Dec. 31, 2021 was
P100/share. In 2022, Taylor issued rights to its shareholders to purchase one ordinary share for
every five rights plus P75. In 2022,
Beyonce sold 2,000 stock rights at P10 and exercise the remaining rights by purchasing
additional shares. At this date Taylor's ordinary shares are selling at P105 per share. At
December 31, 2022, the FV of equity securities is P110/share.
At what amount should this equity investment-FVOCI be reported by Beyonce at December 31
2022?
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