ACCTG-10-Chapter-14-15161718
.xlsx
School
Garcia College of Technology, Kalibo, Aklan**We aren't endorsed by this school
Course
AC AUDITING
Subject
Accounting
Date
Dec 17, 2024
Pages
4
Uploaded by DeanCapybaraPerson263
CHAPTER 14 Statement of financial position for Puro Corporation and Sato Company on December 31, Puro Corporation Sato Company Cash ₱ 70,000 ₱ 90,000 Inventory 100,000 60,000 Property and Equipment (net) 500,000 250,000 Investment in Sato Company 260,000 Total Assets ₱ 930,000 ₱ 400,000 Current Liabilities ₱ 180,000 ₱ 60,000 Long-term Liabilities 200,000 90,000 Common Stock 300,000 100,000 Retained Earnings 250,000 150,000 Total Liabilities and Stockholders' Equity ₱ 930,000 ₱ 400,000 14-15: What amount of goodwill will be reported? b. ₱ 85,000 c. ₱ 25,000 d. ₱ 60,000 Solution: Price Paid Non-controlling Interest {(₱260,000/80%) x 20%} Total Less: Fair Value of Net Assets (₱90,000 + 60,000 + 300,000 - 60,000 - 150,000) Goodwill 14-16: What amount of consolidated retained earnings will be reported? Puro Corporation purchased 80 percent ownership of Sato Company on December 31, 201date, Sato Company's property and equipment had a fair value of ₱50,000 more than the bits long-term liabilities had a market value of ₱150,000. All other book values approximateconsolidated statement of financial position on December 31, 2017: a.₱ 0
b. ₱ 280,000 c. ₱ 370,000 d. ₱ 400,000 Answer: a. ₱ 250,000 14-17: What amount of total stockholders' equity will be reported? b. ₱ 615,000 c. ₱ 750,000 d. ₱ 800,000 Solution: Common Stock - Puro ₱ 300,000 Retained Earnings - Puro 250,000 Controlling Interest ₱ 550,000 Non-controlling Interest 65,000 Total Stockholders' Equity ₱ 615,000 14-18: What amount of non-controlling interest will be reported? b. ₱ 60,000 c. ₱ 110,000 d. ₱ 160,000 Solution: Non-controlling Interest {(₱260,000/80%) x 20%} a.₱ 250,000a.₱ 550,000a.₱ 65,000
2017, are given below: ₱ 260,000 65,000 ₱ 325,000 240,000 ₱ 85,000 b. 17, for ₱260,000. On that book value shown, while ed fair values. In the
b. ₱ 65,000 a.