In a joint venture, Letso owns $30\%$ of the stock. Shareholdings are used to allocate the joint

operation's properties, liabilities, sales, and costs. The following data pertains to joint agreement

operations for the fiscal year that ended on November $30,2019$:

$$ The manufacturing plant, which cost P$30$ million to construct and was completed on December

$1,2018,$ will be decommissioned after a $10-$year projected useful life. Using an $8\%$ discount rate,

the present value of this dismantling expense to the joint agreement at $1$ December $2018$ was

P$3$ million.

$$ During the fiscal year ended November $30,2019,$ the joint operation completed the following

transactions:

$$ P$36$ million in products were sold for P$50$ million.

$$ P$1$ million in other operating expenses

$$ P$2$ million in administrative expenses

Letso has only paid for its share of the manufacturing facility's cost, which amounts to P$9$ million. The

two other joint operation partners are responsible for the sales and expenses, and they will settle any

unresolved sums with Letso after each reporting date.

Required

Prepare a financial statement of Profit and Loss and Statement of Financial Position for the year ending

$30$ November $2019$ to show how Letso will account for its $30\%$ shareholding in the joint operation.