ACCOUNTING FOR BUSINESS COMBINATION

CONSOLIDATION - DATE OF ACQUISITION

On December 31, 2022, the following figures were taken from the trial balances of Pragmatic Company and Systematic Company:

	Pragmatic	Systematic
CASH	P160,000	P40,000
RECEIVABLES	120,000	120,000
INVENTORY	200,000	140,000
PPE	400,000	200,000
GOODWILL	0	60,000
CURRENT LIABILITIES	40,000	20,000
LONG TERM LIABILITIES	140,000	100,000
ORDINARY SHARE CAPITAL	220,000	200,000
SHARE PREMIUM	40,000	0
ACCUMULATED PROFITS (LOSSES	440,000	240,000

On December 31, 2022, Pragmatic issues 10,000 shares of its P 10 par value shares for the net assets of Systematic. Pragmatic's shares had a P 34 per share fair market value. Pragmatic would also issue bond debentures with fair value of P 200,000 maturing 3 years from date of issue.

Pragmatic also incurred the following expenses and paid some with its available cash: P 50,000 for broker's fee, P 40,000 for pre-acquisition audit fee, P 43,000 for legal fees, P 36,000 for SEC registration of shares issued and P 11,000 for printing of share certificates. Systematic holds an equipment that is worth P 80,000 more than its current book value.

1. How much is the total identifiable assets after the merger?

2. How much is the total liabilities after the merger?