PROBLEM VII On July 1, 2019, Eya Company acquired 700,000 shares of Agas Company at a price of P13 per share. Eya estimated that the price paid include P1.50 premium in order to gain control over Agas. On this date, the fair values of Agas' identifiable assets and liabilities and their carrying values are given below: Fair Value P2,000,000 11,000,000 Book Value Current assets Property, plant and equipment Liabilities Ordinary shares, P5 par Retained earnings P2,000,000 9,000,000 P3,000,000 5,000,000 3,000,000 1. Determine the amount of goodwill.

PROBLEM VII On July 1, 2019, Eya Company acquired 700,000 shares of Agas Company at a price of P13 per share. Eya estimated that the price paid include P1.50 premium in order to gain control over Agas. On this date, the fair values of Agas' identifiable assets and liabilities and their carrying values are given below: Fair Value P2,000,000 11,000,000 Book Value Current assets Property, plant and equipment Liabilities Ordinary shares, P5 par Retained earnings P2,000,000 9,000,000 P3,000,000 5,000,000 3,000,000 1. Determine the amount of goodwill.

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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Employee Benefits

In an organization employees are the most important resource and most important asset. They can lead an organization to the sky or can be the reason for unsuccessful of business. Therefore, it is very much important that employees of an organization should be satisfied by the environment of the organization and most importantly with the salary, wages incentives, etc.

Question

PROBLEM VII
On July 1, 2019, Eya Company acquired 700,000 shares of Agas Company at a price of P13 per share. Eya estimated that the price paid
include P1.50 premium in order to gain control over Agas. On this date, the fair values of Agas' identifiable assets and liabilities and their
carrying values are given below:
Book Value
P2,000,000
9,000,000
P3,000,000
5,000,000
3,000,000
Fair Value
P2,000,000
11,000,000
Current assets
Property, plant and equipment
Liabilities
Ordinary shares, P5 par
Retained earnings
1. Determine the amount of goodwill.

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A 7
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A1