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On January 1, 2020, IVY Corporation purchased, for P20,000, a 15% common stock interest in Investee Corporation, whose total common stock equity had fair

 



On January 1, 2020, IVY Corporation purchased, for P20,000, a 15% common stock interest in Investee Corporation, whose total common stock equity had fair and book value of P100,000. The investment is accounted for by the equity method. If Investee's net income during 2020 is P30,000 and IVY receives dividends of P5,000 from Investee, for 2020, IVY Corporation should report income from this investment of?

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