Stamp Holding Company has several operating divisions. On October 1, 2021, management decided to sell one of its division that qualifies as a separate component according to IFRS. The division was sold on December 18, 2021, for a net selling price of P14,000,000. On that date, the net assets of the division has a book value of P12,000,000. For the period January 1, 2020 to the date of disposal, the division reported a pretax loss from operations of P4,200,000. The company’s income tax rate is 30% on all items of income or loss. Stamp Holding Company disclose separately involving its discontinued operations in the December 31, 2020 statement of comprehensive income?
Stamp Holding Company has several operating divisions. On October 1, 2021, management decided to sell one of its division that qualifies as a separate component according to IFRS. The division was sold on December 18, 2021, for a net selling price of P14,000,000. On that date, the net assets of the division has a book value of P12,000,000. For the period January 1, 2020 to the date of disposal, the division reported a pretax loss from operations of P4,200,000. The company’s income tax rate is 30% on all items of income or loss. Stamp Holding Company disclose separately involving its discontinued operations in the December 31, 2020 statement of comprehensive income?
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Stamp Holding Company has several operating divisions. On October 1, 2021, management decided to sell one of
its division that qualifies as a separate component according to IFRS. The division was sold on December 18, 2021, for a
net selling price of P14,000,000. On that date, the net assets of the division has a book value of P12,000,000. For the
period January 1, 2020 to the date of disposal, the division reported a pretax loss from operations of P4,200,000. The
company’s income tax rate is 30% on all items of income or loss.
Stamp Holding Company disclose separately involving its discontinued operations in the December 31, 2020 statement of comprehensive income?
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