On February 1, 2021, a business combination happened between two SMEs. Grab Company issued 100,000 shares, P24 fair market value, for 75% of the outstanding shares of Lala Company. The stockholder equi+section of Grab Company and Lala Company as of the acquisition date is as follows: Grab Company Capital Share Share Premium P Lala Company 1,250,000.00 P 900,000.00 190,000.00 700,000.00 450,000.00 290,000.00 Retained earnings On this date, Lala Company identifiable assets and liabilities book values are equal to their fair market values except for Inventories and Land which were overvalued by P200,000 and P150,000, respectively. Grab Company paid P35,000 for printing and registering the new shares issued, P30,000 for legal fees, and P20,000 for audit fees.