On July 15, 2021, Max Co. acquired 25,000 shares of Chicken Co. for P250,000 which includes P1 cash dividend per share to shareholders of record as of July 30, 2021. Max Co does not have significant influence over Chicken Co. The entity also spent additional P5,000 transaction cost. The dividend was received by Max Co. on August 15, 2021. On November 15, 2021, the Max Co. sold 10,000 shares for P10.5/share. At year- end, Chicken Co.'s shares were selling at P12 per share.

On July 15, 2021, Max Co. acquired 25,000 shares of Chicken Co. for P250,000 which includes P1 cash dividend per share to shareholders of record as of July 30, 2021. Max Co does not have significant influence over Chicken Co. The entity also spent additional P5,000 transaction cost. The dividend was received by Max Co. on August 15, 2021. On November 15, 2021, the Max Co. sold 10,000 shares for P10.5/share. At year- end, Chicken Co.'s shares were selling at P12 per share.

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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