How much is the goodwill?
Tahimik Co. Acquires 80% controlling interest in Kapayapaan Co. For P1,200,000. Kapayapaan Co.’s identifiable assets and liabilities have fair values of P3,300,000 and P1,700,000, respectively. Included in Kapayapaan’s assets is a web press machine with fair value of P900,000 which Tahimik Co. Intends to sell immediately. The machine qualifies for classification as “held fr sale”. The costs to sell are P150,000. Tahimik Co. Opts to measure the non-controlling interest at fair value. How much is the
a. 50,000
b. 60,000
c. 20,000
d. 40,000
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