On July 1, 2020 Blush Company purchased 20% of the when the fair value of net assets was P20,000,000. outstanding ordinary shares of an investee for P4,000,000 Blush Company has the ability to exercise significant influence over the operating and financial policies of the investee. The following data concerning the investee are available: 12 months ended December 31, 2020 December 31, 2020 6 months ended Net income Dividend declared and paid 3,000,000 1,900,000 1,600,000 1,000,000 In the income statement for the year ended December 31, 0020, what amount of income should be reported from the investment?

On July 1, 2020 Blush Company purchased 20% of the when the fair value of net assets was P20,000,000. outstanding ordinary shares of an investee for P4,000,000 Blush Company has the ability to exercise significant influence over the operating and financial policies of the investee. The following data concerning the investee are available: 12 months ended December 31, 2020 December 31, 2020 6 months ended Net income Dividend declared and paid 3,000,000 1,900,000 1,600,000 1,000,000 In the income statement for the year ended December 31, 0020, what amount of income should be reported from the investment?

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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