DATE OF ACQUISITION Page | 124 11. YSL Corporation acquired 80% of the outstanding ordinary shares of GBX Company on June 1, 2020 for P586,250. GBX Company's shareholder's equity components at the end of this year were as follows: Ordinary shares, P100 par, P250,000; Share premium, P112,500 and Retained earnings, P222,5000. Non-controlling interest (NCI) is measured at fair value. All the assets of GBX were fairly valued, except for inventories, which is overstated by P1 1,000 and equipment, which is understated by P15,000. Remaining useful life of equipment is 4 years. Both companies use straight line method for depreciation and amortization. Shareholder's equity of YSL on January 1, 2020 is composed of Ordinary shares, P750,000; Share premium, P175,000 and Retained earnings, P525,000. Fair value of NCI on the date of acquisition is P1 17,500. Goodwill, if any, should be written down by P14,225 at year end. Net income for the first year of parent and subsidiary are P75,000 and P42,500 (from date of acquisition), respectively. Dividends declared at the end of the year amounted to P20,000 and P15,000. There was no issuance of new shares during the year. What is the amount of non-controlling interest in net assets of GBX Company as of December 31, 2020? P145,167.50 b. P127,242.50 P121,917.50 d. P124,242.50 12. Refer to #1 1, what is the amount of consolidated equity at the end of the year? P1,520,345.50 b. P1,644,587.50 c. P1,462,262.50 d. P1,624,262.50 13. For 2020, Parent Company reported P500,000 of net income from separate operations. This amount excludes income relating to Sunshine Company, its 80%-owned subsidiary, which reported P100,000 of net income and declared P55,000 of dividends in 2020. What is the consolidated net income for 2020? P580,000 P536,000 P544,000 P600,000