165 a P48000 On the date of acquisition the parents retained earnings is also

165 a p48000 on the date of acquisition the parents

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165. a – P48,000. On the date of acquisition, the parent’s retained earnings is also the consolidated retained earnings. 166. b – P120,600, the initial value 167. b – P4,000 x 90% = P3,600 168. c Consolidated Net Income for 20x4 Net income from own/separate operations P CompanyP30,200 – (P4,000 x 90%) P26,60 0 S Company 9,400 Total P36,00 0
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Less: Non-controlling Interest in Net Income* P 610 Amortization of allocated excess 3,300 Goodwill impairment ____0 3,910 Controlling Interest in Consolidated Net Income or Profit attributable to equity holders of parent………….. P32,09 0 Add: Non-controlling Interest in Net Income (NCINI) 610 Consolidated Net Income for 20x4 P32,70 0 *Net income of subsidiary – 20x4 P 9,400 Amortization of allocated excess – 20x4 ( 3,30 0) P 6,100 Multiplied by: Non-controlling interest % .......... 10% P 610 Less: Non-controlling interest on impairment loss on full- goodwill ____0 Non-controlling Interest in Net Income (NCINI) P 610 169. c Noncontrolling Interests (in net assets): Common stock - S, 12/31 P 50,000 Additional paid-in capital - S, 12/31 15,000 Retained earnings - S, 12/31: RE-S, 1/1/2011 P 41,000 Add: NI-S, 2011 9,400 Less: Dividends – S 4,000 46,400 Book value of SHE - S, 12/31 P 111,400
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Add: Adjustments to reflect fair value, 1/1 12,000 Less: Amortization of allocated excess (1 yr.) 3,300 Fair Value of Net Assets/SHE - S, 12/31 P 120,100 x: Noncontrolling Interest % 10 % Noncontrolling Interest (in net assets), 12/31 P 12,010 170. b – refer to 168 for computation 171. c – refer to 168 for computation 172. b Controlling RE / RE Attributable to EH of Parent, 1/1 (refer to No. 102 P 48,000 Add: CI – CNI (refer to 168) 32,090 Less: CI – Dividends (Dividend of parent only) 15,000 Controlling RE / RE Attributable to EH of Parent, 12/31 P 65,090 173. b – same with No. 172 174. c Consolidated Equity: Controlling Interest / Equity Holders Attributable to Parent: Common stock – P: [P100,000 + P120,600 – (5,400 shares x P10 par)] P154,000 APIC – P: [15,000 + [P120,600 – (5,400 x P10)] 81,600 RE – P (refer to No. 172) 65,090 Parent’s Stockholders Equity or Controlling Interest – Equity P300,690 Noncontrolling Interest 12,010 Consolidated Equity P312,700 175. c P95,000 = (P956,000 / .80) - P1,000,000 - P100,000 176. c P251,000 = .20[(P956,000 + P239,000) + (P190,000 - P5,000 - P125,000)] 177. b Combined revenues .......................................................... P1,300,000 Combined expenses ............................................................... (800,000)
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Trademark amortization ........................................................ (6,000) Patented technology amortization ......................................... (8 ,000 ) Consolidated net income ....................................................... P486 ,000 178. c Subsidiary income (P100,000 – P14,000 excess amortizations) P86,000 Non-controlling interest percentage ...................................... __40 % Non-controlling interest in subsidiary income ...................... P34 ,400 Fair value of non-controlling interest at acquisition date ...... P200,000 40% change in Scott book value since acquisition ................ 52,000 Excess fair value amortization (P14,000 × 40%) .................. (5,600) 40% current year income ...................................................... __34 ,400 Non-controlling interest at end of year .................................. P280 ,800 179. a MM trademark balance .................................................... P260,000 SS trademark balance ........................................................... 200,000 Excess fair value ................................................................... 60,000 Two years amortization (10-year life) ................................... (12 ,000 ) Consolidated trademarks ....................................................... P508 ,000 180 a Fair value of non-controlling interest on April 1 ......... P165,000 30% of net income for 9 months (¾ year×P240,000 × 30%) 54 ,000 Non-controlling interest December 31 .................................. P219 ,000 181. c Non-controlling interest (full-goodwill), December 31, 20x4 Book value of SHE – S, 12/31/20x4 P1,000, 000 Add: Net income of S – 20x4 ___150 ,000 Total P1,150, 000 Less: Dividends paid – 20x4 ____90
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,000 Stockholders’ equity – S Company, December 31, Year 2 P1,060, 000 Adjustments to reflect fair value - (over) undervaluation of assets and
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