Book Value P50,000 140,000 530,000 210,000 Market Value P50,000 200,000 600,000 Cash Inventory Plant Assets (net) Cost of Goods Sold Depreciation Expense 60,000 Liabilities (230,000) (10,000) (350,000) (430,000) (230,000) Common Stock Retained Earnings Sales

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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On August 1, ABC Corporation acquired 80 percent of XYZ Corporation for P560,000. XYZ Corporation had the following book and market values at acquisition date. what is the goodwill recognized on the acquisition date balance sheet?
Book Value
P50,000
140,000
530,000
210,000
Market Value
P50,000
200,000
600,000
Cash
Inventory
Plant Assets (net)
Cost of Goods Sold
Depreciation Expense 60,000
Liabilities
(230,000)
(10,000)
(350,000)
(430,000)
(230,000)
Common Stock
Retained Earnings
Sales
Transcribed Image Text:Book Value P50,000 140,000 530,000 210,000 Market Value P50,000 200,000 600,000 Cash Inventory Plant Assets (net) Cost of Goods Sold Depreciation Expense 60,000 Liabilities (230,000) (10,000) (350,000) (430,000) (230,000) Common Stock Retained Earnings Sales
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