On January 1, 2019, Familia purchased 1,600 ordinary shares of another entity for P2,000,000. During 2019, the investee paid a cash dividend of P130 per share. At December 31, 2019, the investee’s shares were selling for P1,400 per share. Familia irrevocably designated to classify equity investment at FVOCI. On October 1, 2020, Familia sold half of its shares at P1,800 per share. At December 31, 2020, the shares were selling at P1,900 per share. What amount is recognized in retained in retained earnings as a result of the disposal in 2020? __ The unrealized gain recognized in the statement of comprehensive income for the year end December 31 2020 is ____
On January 1, 2019, Familia purchased 1,600 ordinary shares of another entity for P2,000,000. During 2019, the investee paid a cash dividend of P130 per share. At December 31, 2019, the investee’s shares were selling for P1,400 per share. Familia irrevocably designated to classify equity investment at FVOCI. On October 1, 2020, Familia sold half of its shares at P1,800 per share. At December 31, 2020, the shares were selling at P1,900 per share. What amount is recognized in retained in retained earnings as a result of the disposal in 2020? __ The unrealized gain recognized in the statement of comprehensive income for the year end December 31 2020 is ____
Cornerstones of Financial Accounting
4th Edition
ISBN:9781337690881
Author:Jay Rich, Jeff Jones
Publisher:Jay Rich, Jeff Jones
ChapterA2: Investments
Section: Chapter Questions
Problem 24E
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Question
- On January 1, 2019, Familia purchased 1,600 ordinary shares of another entity for P2,000,000.
- During 2019, the investee paid a cash dividend of P130 per share.
- At December 31, 2019, the investee’s shares were selling for P1,400 per share.
- Familia irrevocably designated to classify equity investment at FVOCI.
- On October 1, 2020, Familia sold half of its shares at P1,800 per share.
- At December 31, 2020, the shares were selling at P1,900 per share.
What amount is recognized in retained in retained earnings as a result of the disposal in 2020? __
The unrealized gain recognized in the statement of comprehensive income for the year end December 31 2020 is ____
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