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EXERCISE 4-5 On January 1, 2020, Hough Co. purchased 100,000 ordinary shares of Derek Co. at P20 per share. The shares are classified as financial

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EXERCISE 4-5 On January 1, 2020, Hough Co. purchased 100,000 ordinary shares of Derek Co. at P20 per share. The shares are classified as financial asset at fair value through profit or loss. Derek declared and paid dividends of P2 and P3 per share during 2020 and 2021. At the end of 2020 and 2021, Derek's shares have a fair value of P18 and P22, respectively. to bag'er is abnod end to oulev isfenT parooni svignonferome 1. Determine the dividend income recognized by Hough on the equity instrument in 2020 and 2021. sor osos 18 16dmoosd 2. Determine the carrying amount of the equity instrument on Hough's statement of financial statement on December 31, 2020 and December 31, 2021. 3. Determine the unrealized gain or loss on change in fair value recognized by Hough in its profit or loss statement for the year ended December 31, 2020 and December 31, 2021. .SSOS of OSOS EXERCISE 4-6 On January 1, 2020, Blunt Co. purchased 50,000 ordinary shares of Powter Co. at p16 per share. The shares are classified as financial asset at fair value through other comprehensive income. Powter declared and paid dividends of P4 and P5 per share in 2020 and 2021, respectively. At the end of 2020 and 2021, Powter's shares were trading at P17 and P14, respectively. 1. Determine the dividend income recognized by Blunt on the equity instrument in 2020 and 2021. 2. Determine the carrying amount of the equity instrument on Blunt's statement of financial statement on December 31, 2020 and December 31, 2021. 3. Determine the unrealized gain or loss on change in fair value recognized by Blunt in its profit or loss statement for the year ended December 31, 2020 and December 31, 2021. ed bluorla insbulz 4. Determine the cumulative balance of the unrealized gain or loss recognized in the other comprehensive income of Blunt's shareholders' equity on December 31, 2020 and December 31, 2021. cop erll epgmos brin edhozed

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