Question
At the beginning of the current year, BC Corporation acquired 200,000 ordinary shares of CJ Corporation for P9 million. At the time of purchase, CJ
At the beginning of the current year, BC Corporation acquired 200,000 ordinary shares of CJ Corporation for P9 million.
At the time of purchase, CJ Corporation had outstanding 800,000 shares with a carrying amount of P36 million.
The following events took place during the current year:
- CJ Corporation reported net income of P1.8 million for the current year.
- BC Corporation received from CJCorporation a dividend of P3.00 per ordinary share.
- The market value of CJ Corporation share had temporarily declined to P40 per share.
BC has elected irrevocably to measure the investment at fair value through other comprehensive income.
What is the carrying amount of the investment at year-end?
How much is the unrealized gain or loss to be recognized as part of OCI for the current year?
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Business Statistics For Contemporary Decision Making
Authors: Ken Black
7th Edition
0470931469, 978-0470931462
