P Company issues Php500,000 shares of its own Php10 par common stock for the net assets of S Company in a merger consummated on July 1, 2020. On this date, P stock is quoted at P20 per share. Summary of Balance sheet data for the two companies at July 1, 2020, just before combination, are as follows: P Current Assets Plant Assets Total Assets Liabilities 18,000,000 22,000,000 40,000,000 12,000,000 20,000,000 3,000,000 5,000,000 40,000,000 1,500,000 6,500,000 8,000,000 2,000,000 3,000,000 1,000,000 2,000,000 8,000,000 Common Stock, P10 par Share Premium Retained Earnings Total Equities What is the total assets after of P after the business combination?
P Company issues Php500,000 shares of its own Php10 par common stock for the net assets of S Company in a merger consummated on July 1, 2020. On this date, P stock is quoted at P20 per share. Summary of Balance sheet data for the two companies at July 1, 2020, just before combination, are as follows: P Current Assets Plant Assets Total Assets Liabilities 18,000,000 22,000,000 40,000,000 12,000,000 20,000,000 3,000,000 5,000,000 40,000,000 1,500,000 6,500,000 8,000,000 2,000,000 3,000,000 1,000,000 2,000,000 8,000,000 Common Stock, P10 par Share Premium Retained Earnings Total Equities What is the total assets after of P after the business combination?
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
![P Company issues Php500,000 shares of its own Php10 par
common stock for the net assets of S Company in a merger
consummated on July 1, 2020. On this date, P stock is
quoted at P20 per share. Summary of Balance sheet data for
the two companies at July 1, 2020, just before combination,
are as follows:
P
S
Current Assets
Plant Assets
Total Assets
18,000,000
22,000,000
40,000,000
12,000,000
20,000,000
3,000,000
5,000,000
40,000,000
1,500,000
6,500,000
8,000,000
2,000,000
3,000,000
1,000,000
2,000,000
8,000,000
Liabilities
Common Stock, P10 par
Share Premium
Retained Earnings
Total Equities
What is the total assets after of P after the business
combination?](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F5ee50fb6-21df-42bd-a509-028c8237be09%2Ff8ed6089-d779-401d-a2d7-3eccfeb5c59d%2Ffxrj3xe_processed.png&w=3840&q=75)
Transcribed Image Text:P Company issues Php500,000 shares of its own Php10 par
common stock for the net assets of S Company in a merger
consummated on July 1, 2020. On this date, P stock is
quoted at P20 per share. Summary of Balance sheet data for
the two companies at July 1, 2020, just before combination,
are as follows:
P
S
Current Assets
Plant Assets
Total Assets
18,000,000
22,000,000
40,000,000
12,000,000
20,000,000
3,000,000
5,000,000
40,000,000
1,500,000
6,500,000
8,000,000
2,000,000
3,000,000
1,000,000
2,000,000
8,000,000
Liabilities
Common Stock, P10 par
Share Premium
Retained Earnings
Total Equities
What is the total assets after of P after the business
combination?
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