On January 1, 2019, GRANGER Co. acquired 80% interest in HISTORIA, Inc. by issuing 5,000 shares with fair value of P30 per share and par value of P20 per share. The financial statements of GRANGER Co. and HISTORIA, Inc. immediately after the acquisition are shown in the image.On January 1, 2019, the fair value of the assets and liabilities of HISTORIA, Inc. were determined by appraisal, show in the image.The equipment has a remaining useful life as of 4 years from January 1, 2019.Prepare the consolidated statement of financial position as at January 1, 2019. GRANGER Co. elects to measure non-controlling interest as its proportionate share in HISTORIA’s net identifiable assets. On January 1, 2019, GRANGER Co. acquired 80% interest in HISTORIA, Inc. by issuing 5,000 shares withfair value of P30 per share and par value of P20 per share. The financial statements of GRANGER Co. andHISTORIA, Inc. immediately after the acquisition are shown below:Jan. 1, 2019GRANGER Co. HISTORIA, Inc.Cash20,00010,000Accounts receivable60,00024,000Inventory80,00046,000Investment in subsidiary150,000EquipmentAccumulated depreciation400,000100,000(20,000)(40,000)670,000Total assets160,000Accounts payable40,00012,000Bonds payable60,000Share capitalShare premiumRetained earnings340,000100,000130,000100,00048,000Total liabilities and equity670,000160,000On January 1, 2019, the fair value of the assets and liabilities of HISTORIA, Inc. were determinedby appraisal, as follows:CarryingFairFair valueHISTORIA, Inc.атountsvaluesincrementCash10,00010,000Accounts receivable24,00024,000Inventory46,00062,00016,000EquipmentAccumulated depreciationAccounts payableNet assets100,000120,00020,000(20,000)(12,000)148,000(24,000)(12,000)180,000(4,000)32,000The equipment has a remaining useful life as of 4 years from January 1, 2019.Prepare the consolidated statement of financial position as at January 1, 2019. GRANGER Co.elects to measure non-controlling interest as its proportionate share in HISTORIA's netidentifiable assets.

Consolidated financial statements are those statements that states the cash flows, assets, expenses,…

Answered: On January 1, 2019, GRANGER Co.…

FINANCIAL ACCOUNTING

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ISBN:9781259964947

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Chapter1: Financial Statements And Business Decisions

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On January 1, 2019, GRANGER Co. acquired 80% interest in HISTORIA, Inc. by issuing 5,000 shares with fair value of P30 per share and par value of P20 per share. The financial statements of GRANGER Co. and HISTORIA, Inc. immediately after the acquisition are shown in the image.

On January 1, 2019, the fair value of the assets and liabilities of HISTORIA, Inc. were determined by appraisal, show in the image.

The equipment has a remaining useful life as of 4 years from January 1, 2019.

Prepare the consolidated statement of financial position as at January 1, 2019. GRANGER Co. elects to measure non-controlling interest as its proportionate share in HISTORIA’s net identifiable assets.

On January 1, 2019, GRANGER Co. acquired 80% interest in HISTORIA, Inc. by issuing 5,000 shares with
fair value of P30 per share and par value of P20 per share. The financial statements of GRANGER Co. and
HISTORIA, Inc. immediately after the acquisition are shown below:
Jan. 1, 2019
GRANGER Co. HISTORIA, Inc.
Cash
20,000
10,000
Accounts receivable
60,000
24,000
Inventory
80,000
46,000
Investment in subsidiary
150,000
Equipment
Accumulated depreciation
400,000
100,000
(20,000)
(40,000)
670,000
Total assets
160,000
Accounts payable
40,000
12,000
Bonds payable
60,000
Share capital
Share premium
Retained earnings
340,000
100,000
130,000
100,000
48,000
Total liabilities and equity
670,000
160,000
On January 1, 2019, the fair value of the assets and liabilities of HISTORIA, Inc. were determined
by appraisal, as follows:
Carrying
Fair
Fair value
HISTORIA, Inc.
атounts
values
increment
Cash
10,000
10,000
Accounts receivable
24,000
24,000
Inventory
46,000
62,000
16,000
Equipment
Accumulated depreciation
Accounts payable
Net assets
100,000
120,000
20,000
(20,000)
(12,000)
148,000
(24,000)
(12,000)
180,000
(4,000)
32,000
The equipment has a remaining useful life as of 4 years from January 1, 2019.
Prepare the consolidated statement of financial position as at January 1, 2019. GRANGER Co.
elects to measure non-controlling interest as its proportionate share in HISTORIA's net
identifiable assets.

Definition Definition Financial statement that provides a snapshot of an organization's financial position at a specific point in time. It summarizes a company's assets, liabilities, and shareholder's equity, detailing what the company owns, what it owes, and what is left over for its owners. The balance sheet serves as a crucial tool to assess the financial health and stability of a company, as well as to help management make informed decisions about its future investments and financial obligations.

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