This problem has 2 questions. SUKON Company acquired equity securities at the beginning of 2020....
50.1K
Verified Solution
Link Copied!
Question
Accounting
This problem has 2 questions. SUKON Company acquired equity securities at the beginning of 2020. SUKON Company provided you the following information:
AKO shares were acquired and were designated as financial asset at fair value through OCI. The shares were acquired at P52.50 per share which included a P2.50 per share transaction cost. Half of the AKO shares were sold at P58 per share on July 1, 2021.
14. How much is the cumulative balance of unrealized gain/loss transferred to Retained Earnings upon sale of investment?
a. 125,000 b. 400,000 c. 150,000 d. 275,000
12.
Security
No. of shares
Acquisition Cost
AKO Co. shares
100,000 shares
P5,250,000
Fair value, Dec. 31, 2020
Fair value, Dec. 31, 2021
P55/share
P62/share15. How much is the carrying value of the Investment on December 31, 2021? a. 3,100,000
b. 2,900,000
c. 2,750,000
d. none of the choices
Answer & Explanation
Solved by verified expert
Get Answers to Unlimited Questions
Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!
Membership Benefits:
Unlimited Question Access with detailed Answers
Zin AI - 3 Million Words
10 Dall-E 3 Images
20 Plot Generations
Conversation with Dialogue Memory
No Ads, Ever!
Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
