Pompey Inc. carries the following marketable equity securities on its books at December 31, 2019 and 2020. All securities were purchased during 2019. Trading Securities: Cost Fair Value 12/31/19 12/31/20 P Company R Company T Company 500,000 260,000 400,000 260,000 400,000 400,000 700,000 600,000 500,000 Total 1,460,000 1,260,000 1,300,000 Financial asset @ FVOCI: Cost Fair Value 12/31/19 12/31/20 3,600,000 3,600,000 1,200,000 1,400,000 4,800,000 5,000,000 4,100,000 C Company I Company 1,000,000 Total 5,100,000 The net amount to be recognized in 2020 comprehensive income is O P200,000 gain P100,000 loss
Pompey Inc. carries the following marketable equity securities on its books at December 31, 2019 and 2020. All securities were purchased during 2019. Trading Securities: Cost Fair Value 12/31/19 12/31/20 P Company R Company T Company 500,000 260,000 400,000 260,000 400,000 400,000 700,000 600,000 500,000 Total 1,460,000 1,260,000 1,300,000 Financial asset @ FVOCI: Cost Fair Value 12/31/19 12/31/20 3,600,000 3,600,000 1,200,000 1,400,000 4,800,000 5,000,000 4,100,000 C Company I Company 1,000,000 Total 5,100,000 The net amount to be recognized in 2020 comprehensive income is O P200,000 gain P100,000 loss
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Pompey Inc. Carries the following marketable equity
Transcribed Image Text:Pompey Inc. carries the following marketable equity securities on its
books at December 31, 2019 and 2020.
All securities were
purchased during 2019.
Trading Securities:
Cost
Fair Value
12/31/19
12/31/20
P Company
R Company
T Company
500,000
260,000
700,000
1,460,000
260,000
400,000
400,000
400,000
600,000
500,000
1,260,000 1,300,000
Total
Financial asset @ FVOCI:
Cost
Fair Value
12/31/19
12/31/20
3,600,000 3,600,000
1,200,000 1,400,000
4,800,000 5,000,000
4,100,000
C Company
I Company
Total
1,000,000
5,100,000
The net amount to be recognized in 2020 comprehensive income is
O P200,000 gain
P100,000 loss
Transcribed Image Text:Company
1,000,000
1,200,000 1,400,000
Total
5,100,000
4,800,000 5,000,000
The net amount to be recognized in 2020 comprehensive income is
O P200,000 gain
O P100,000 loss
O P260,000 loss
OP 40,000 gain
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