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Carter Company acquired three machines for ₱202,000 in a package deal. The three assets together had a book value of ₱160,000 on the seller's books. The three machines had the following fair values (book values are given in parentheses): Machine 1: ₱60,000 (₱40,000) Machine 2: ₱80,000 (₱50,000) Machine 3: ₱100,000 (₱70,000) The three assets should be individually recorded at a cost of (rounded to the nearest peso) Machine 1 Machine 2 Machine 3 a. ₱40,000 ₱53,333 ₱66,667 b. ₱50,000 ₱62,500 ₱87,500 c. ₱40,000 ₱50,000 ₱70,000 d. ₱50,500 ₱67,333 ₱84,167

Carter Company acquired three machines for ₱202,000 in a package deal. The three assets together had a book value of ₱160,000 on the seller's books. The three machines had the following fair values (book values are given in parentheses): Machine 1: ₱60,000 (₱40,000) Machine 2: ₱80,000 (₱50,000) Machine 3: ₱100,000 (₱70,000) The three assets should be individually recorded at a cost of (rounded to the nearest peso) Machine 1 Machine 2 Machine 3 a. ₱40,000 ₱53,333 ₱66,667 b. ₱50,000 ₱62,500 ₱87,500 c. ₱40,000 ₱50,000 ₱70,000 d. ₱50,500 ₱67,333 ₱84,167

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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 Carter Company acquired three machines for ₱202,000 in a package deal. The three assets together
had a book value of ₱160,000 on the seller's books. The three machines had the following fair values
(book values are given in parentheses):
Machine 1: ₱60,000 (₱40,000)
Machine 2: ₱80,000 (₱50,000)
Machine 3: ₱100,000 (₱70,000)
The three assets should be individually recorded at a cost of (rounded to the nearest peso)
Machine 1 Machine 2 Machine 3
a. ₱40,000 ₱53,333 ₱66,667
b. ₱50,000 ₱62,500 ₱87,500
c. ₱40,000 ₱50,000 ₱70,000
d. ₱50,500 ₱67,333 ₱84,167 

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