On January 1, 2022, Bumili Co. purchased 10,000 shares of Nabili, Inc. for P1,000,000. Commission and other charges paid amounted to P15,000. Management made an irrevocable choice to subsequently measure the shares at fair value through other comprehensive income. On December 31, 2022, the shares are quoted at P90 per share. On January 3, 2023, all of the shares were sold at P105 per share. Commission and other charges paid for the sale amounted to P16,000. How much is the unrealized gain (loss) recognized in Bumili's 2022 profit or loss? O P115,000 Ɔ (P115,000) (P85,000) Zero
On January 1, 2022, Bumili Co. purchased 10,000 shares of Nabili, Inc. for P1,000,000. Commission and other charges paid amounted to P15,000. Management made an irrevocable choice to subsequently measure the shares at fair value through other comprehensive income. On December 31, 2022, the shares are quoted at P90 per share. On January 3, 2023, all of the shares were sold at P105 per share. Commission and other charges paid for the sale amounted to P16,000. How much is the unrealized gain (loss) recognized in Bumili's 2022 profit or loss? O P115,000 Ɔ (P115,000) (P85,000) Zero
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
![On January 1, 2022, Bumili Co. purchased 10,000 shares of Nabili, Inc. for P1,000,000. Commission and
other charges paid amounted to P15,000. Management made an irrevocable choice to subsequently
measure the shares at fair value through other comprehensive income. On December 31, 2022, the
shares are quoted at P90 per share. On January 3, 2023, all of the shares were sold at P105 per share.
Commission and other charges paid for the sale amounted to P16,000. How much is the unrealized gain
(loss) recognized in Bumili's 2022 profit or loss?
P115,000
O (P115,000)
O (P85,000)
Zero](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F54181678-8bdb-4f35-b8ed-d315de9633e6%2F1c297bbb-cd11-42e6-9140-5a6840c15958%2Faar0qq_processed.png&w=3840&q=75)
Transcribed Image Text:On January 1, 2022, Bumili Co. purchased 10,000 shares of Nabili, Inc. for P1,000,000. Commission and
other charges paid amounted to P15,000. Management made an irrevocable choice to subsequently
measure the shares at fair value through other comprehensive income. On December 31, 2022, the
shares are quoted at P90 per share. On January 3, 2023, all of the shares were sold at P105 per share.
Commission and other charges paid for the sale amounted to P16,000. How much is the unrealized gain
(loss) recognized in Bumili's 2022 profit or loss?
P115,000
O (P115,000)
O (P85,000)
Zero
Expert Solution
![](/static/compass_v2/shared-icons/check-mark.png)
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 2 steps
![Blurred answer](/static/compass_v2/solution-images/blurred-answer.jpg)
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
![FINANCIAL ACCOUNTING](https://compass-isbn-assets.s3.amazonaws.com/isbn_cover_images/9781259964947/9781259964947_smallCoverImage.jpg)
![Accounting](https://www.bartleby.com/isbn_cover_images/9781337272094/9781337272094_smallCoverImage.gif)
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
![Accounting Information Systems](https://www.bartleby.com/isbn_cover_images/9781337619202/9781337619202_smallCoverImage.gif)
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
![FINANCIAL ACCOUNTING](https://compass-isbn-assets.s3.amazonaws.com/isbn_cover_images/9781259964947/9781259964947_smallCoverImage.jpg)
![Accounting](https://www.bartleby.com/isbn_cover_images/9781337272094/9781337272094_smallCoverImage.gif)
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
![Accounting Information Systems](https://www.bartleby.com/isbn_cover_images/9781337619202/9781337619202_smallCoverImage.gif)
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
![Horngren's Cost Accounting: A Managerial Emphasis…](https://www.bartleby.com/isbn_cover_images/9780134475585/9780134475585_smallCoverImage.gif)
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
![Intermediate Accounting](https://www.bartleby.com/isbn_cover_images/9781259722660/9781259722660_smallCoverImage.gif)
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
![Financial and Managerial Accounting](https://www.bartleby.com/isbn_cover_images/9781259726705/9781259726705_smallCoverImage.gif)
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education