Parent Company acquired Sub Company on February 6, 2022. The following out of pocket costs of the combination are as follows: Legal fees for business combination contract- P174,700 Audit fees for SEC registration of share issue- 198,400 Printing cost of stock certificates- 144,900 Broker's fee- 135,000 Accountant's fee for pre-acquisition audit- 161,000 Other direct cost of acquisition- 90,400 General and allocated expenses- 115,300 Stock exchange listing fees in issuing shares- 172,000 What is the amount of expense to be recognized in the Statement of Comprehensive
Parent Company acquired Sub Company on February 6, 2022. The following out of pocket costs of the combination are as follows: Legal fees for business combination contract- P174,700 Audit fees for SEC registration of share issue- 198,400 Printing cost of stock certificates- 144,900 Broker's fee- 135,000 Accountant's fee for pre-acquisition audit- 161,000 Other direct cost of acquisition- 90,400 General and allocated expenses- 115,300 Stock exchange listing fees in issuing shares- 172,000 What is the amount of expense to be recognized in the Statement of Comprehensive
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Parent Company acquired Sub Company on February 6, 2022. The following out of pocket costs of the combination are as follows:
Legal fees for business combination contract- P174,700
Audit fees for SEC registration of share issue- 198,400
Printing cost of stock certificates- 144,900
Broker's fee- 135,000
Accountant's fee for pre-acquisition audit- 161,000
Other direct cost of acquisition- 90,400
General and allocated expenses- 115,300
Stock exchange listing fees in issuing shares- 172,000
What is the amount of expense to be recognized in the Statement of Comprehensive Income for the year 2022?
A. 1,046,800
B. 676,400
C. 874,800
D. 848,400
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