The following investment portfolio of equity securities (all acquired during 2019) accounted for as fair value through other comprehensive income are held by JKL Corporation on December 31, 2020: Investment Ivan Company shares Jericho, Inc. shares. Kent Co. shares Acquisition Cost P2,200,000 700,000 2,000,000 Fair value, 12/31/20 P1,200,000 2,000,000 2,500,000 During 2021, one-fourth of the Ivan Company shares were sold at its fair value of P230,000 while one- half of the Kent Co. shares were sold at its fair value of P700,000. Had no shares been sold by JKL Corporation in 2021, the fair value of the equity securities at year-end are as follows: Investment Ivan Company shares Jericho, Inc. shares Kent Co. shares Fair value, 12/31/21 P1,900,000 1,100,000 1,200,000

The following investment portfolio of equity securities (all acquired during 2019) accounted for as fair value through other comprehensive income are held by JKL Corporation on December 31, 2020: Investment Ivan Company shares Jericho, Inc. shares. Kent Co. shares Acquisition Cost P2,200,000 700,000 2,000,000 Fair value, 12/31/20 P1,200,000 2,000,000 2,500,000 During 2021, one-fourth of the Ivan Company shares were sold at its fair value of P230,000 while one- half of the Kent Co. shares were sold at its fair value of P700,000. Had no shares been sold by JKL Corporation in 2021, the fair value of the equity securities at year-end are as follows: Investment Ivan Company shares Jericho, Inc. shares Kent Co. shares Fair value, 12/31/21 P1,900,000 1,100,000 1,200,000

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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. Compute for the CARRYING VALUE of the investment as of December 31, 2019.
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