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On January 1, 2020, Entity A, a public entity, and Entity B, a public entity, incorporated Entity C which has its fiscal and operational autonomy.
On January 1, 2020, Entity A, a public entity, and Entity B, a public entity, incorporated Entity C which has its fiscal and operational autonomy. The contractual agreement of the incorporating entities provided that the decisions on relevant activities of Entity C will require the unanimous consent of both entities. Entity A and Entity B will have rights to the net assets of Entity C Entity A and Entity B invested P1,000,000 and P1,500,000, respectively, equivalent to 40:60 capital interest of Entity C. The financial statements of Entity C provided the following data for its two year operation: 2020 2021 Net Income (Loss) Dividends Declared 200,000 100,000 (2,000,000) What is the balance of Investment in Entity C to be reported by Entity B in its Statement of Financial Position on December 31, 20212 360,000 900,000 1,500,000 1,620,000 with
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