Instagram Corporation has been undergoing liquidation since January 1. As of March 31, its condensed statement of realization and liquidation is presented below: Assets: Assets to be realized P 135,000 Assets acquired 750,000 Assets realized 1,200,000 Assets not realized 1,375,000 Liabilities: Liabilities Liquidated P 1,875,000 Liabilities not liquidated 1,700,000 Liabilities to be liquidated 2,250,000 Liabilities assumed 1,625,000 Revenues and Expenses: Supplementary Charges P 3,125,000 Supplementary Credits 2,800,000 The net gain (loss) for the three-month period ending March 31 is:
Instagram Corporation has been undergoing liquidation since January 1. As of March 31, its condensed statement of realization and liquidation is presented below: Assets: Assets to be realized P 135,000 Assets acquired 750,000 Assets realized 1,200,000 Assets not realized 1,375,000 Liabilities: Liabilities Liquidated P 1,875,000 Liabilities not liquidated 1,700,000 Liabilities to be liquidated 2,250,000 Liabilities assumed 1,625,000 Revenues and Expenses: Supplementary Charges P 3,125,000 Supplementary Credits 2,800,000 The net gain (loss) for the three-month period ending March 31 is:
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Instagram Corporation has been undergoing liquidation since January 1. As of March 31, its
condensed statement of realization and liquidation is presented below:
Assets:
Assets to be realized P 135,000
Assets acquired 750,000
Assets realized 1,200,000
Assets not realized 1,375,000
Liabilities:
Liabilities Liquidated P 1,875,000
Liabilities not liquidated 1,700,000
Liabilities to be liquidated 2,250,000
Liabilities assumed 1,625,000
Revenues and Expenses:
Supplementary Charges P 3,125,000
Supplementary Credits 2,800,000
The net gain (loss) for the three-month period ending March 31 is:
a. P250,000
b. P(325,000)
c. P425,000
d. P750,000
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