BE docdownloader.com-pdf-buscon x *Homework Help - Q&A from On x + X O File | C:/Users/Hp/Desktop/JA/docdownloader.com-pdf-buscom-subsequent-measurement-dd_aa886bb69f8d5cefe77 eae444... 1 of 6 Q +2 0 Page view | A Read aloud I V Draw Highlight Erase Papa Co. and Son Co. entered into a business combination wherein Papa Co. acquired 75% interest in the common stock of Son Co. All of which were settled on January 1, 2016, the date of acquisition by paying cash worth P1,000,000. The NCI has a fair value of P320 per share at the date of acquistion. At that date, all assets and liabilities of Son Co. are equal to their respective fair values except the following: Book Values Fair Values Net Effect in FVNA Inventories 100,000 110,000 10,000 Equipment-net 200,000 180,000 (20,000) Machinery-net 150,000 175,000 25,000 Loans Payable 100,000 120,000 (20,000) 60% of the inventories were sold in 2016, 25% on 2017 and 15% on 2018. The equipment has a remaining life of 4 years. Machinery, on the other hand, is expected to be useful at the end of 5 acquisition. years from the acquisition date. The loans payable has a maturity of 2 years from the date of It was also ascertained that Papa Co.'s goodwill was impaired by P10,000 and P5,000 at the end of 2016 and 2017, respectively. While Son Co.'s goodwill was believed to be impaired by P20,000 and P10,000 at the end of 2016 and 2017, respectively. Other information with regard to the two companies are as follows: Net Income Dividends Paid Papa Co. 800,000 100,000 2016 Son Co. 200,000 50,000 2017 Papa Co. 1,000,000 200,000 Son Co. 300.000 100,000 Type here to search O N 1:24 PM 3/29/2021BE docdownloader.com-pdf-buscon x *Homework Help - Q&A from On x + X O File | C:/Users/Hp/Desktop/JA/docdownloader.com-pdf-buscom-subsequent-measurement-dd_aa886bb69f8d5cefe77 eae444... 2 of 6 Q +2 0 Page view | A Read aloud | \\ Draw ~ Highlight ~