Question
24. On January 1, 2021, Parent Co. acquired identifiable net asset of Subsidiary Inc. On this date, identifiable net assets acquired and liabilities assumed have
24. On January 1, 2021, Parent Co. acquired identifiable net asset of Subsidiary Inc. On this date, identifiable net assets acquired and liabilities assumed have fair values of P7,680,000 and P4,320,000, respectively. Parent Co. incurred the following acquisition-related costs: legal fees, P48,000, due diligence costs and general and administrative costs of maintaining an internal acquisition, P96,000. As consideration, Parent Co transferred 9,600 of its own shares with par value and fair value per share pf P400 and P500, respectively, to Subsidiary's former owners. Costs of registering the shares (previously issued and newly issued) amounted to P192,000 (24,000 pertains to listing fees of previously issued shares). How much is the total amount charged to profit or loss in relation to this transaction?
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