On January 1, 2020, Maximillian acquired 90% of the equity share capital of Regis in a share exchange in which Maximillian issued two new shares for every three shares it acquired in Regis. Additionally, on December 31, 2020, Maximillian will pay the shareholders of Regis P13.2 per share acquired. Maximillian's cost of capital is 10% per annum. At the date of acquisition, shares in Maximillian and Regis had a stock market value of P48.75 and P50.00 each, respectively. Income statements for the year ended September 30, 2020. Revenue Cost of sales Gross profit Distribution costs Administrative expenses Investment income Finance costs Profit before tax Income tax expense Profit for the year Maximillian Regis P4,845,000 2,850,000 3,840,000 1,950,000 1,005,000 900,000 102,000 130,500 285,000 180,000 37,500 31,500 624,000 589,500 210,000 120,000 414,000 469,500 Equity as at October 1, 2019 Equity shares of P7.50 each Retained earnings 1,800,000 4,050,000 562,500 2,625,000 At the date of acquisition, the fair values of Regis's assets were equal to their carrying amounts with the exception of Land which had a fair value of P135,000 above its carrying amount. Also, Regis had a contingent liability which Maximillian estimated to have a fair value of P337,500. This has not changed as at September 30, 2020. Regis has not incorporated these fair value changes into its financial statements. Regis's share price at that date can be deemed to be representative of the fair value of the shares held by the non-controlling interest. Required: 1. In the consolidation statement of financial position, how much is the goodwill on the date of acquisition if the parent company used the Partial Approach? 2. In the consolidation statement of financial position, how much is the goodwill on the date of acquisition? On January 1, 2020, Maximillian acquired 90% of the equity share capital of Regis in a share exchange in which Maximillian issued two new shares for every three shares it acquired in Regis. Additionally, on December 31, 2020, Maximillian will pay the shareholders of Regis P13.2 per share acquired. Maximillian's cost of capital is 10% per annum. At the date of acquisition, shares in Maximillian and Regis had a stock market value of P48.75 and P50.00 each, respectively. Income statements for the year ended September 30, 2020. Revenue Cost of sales Gross profit Distribution costs Administrative expenses Investment income Finance costs Profit before tax Income tax expense Profit for the year Maximillian Regis P4,845,000 2,850,000 3,840,000 1,950,000 1,005,000 900,000 102,000 130,500 285,000 180,000 37,500 31,500 624,000 589,500 210,000 120,000 414,000 469,500 Equity as at October 1, 2019 Equity shares of P7.50 each Retained earnings 1,800,000 4,050,000 562,500 2,625,000 At the date of acquisition, the fair values of Regis's assets were equal to their carrying amounts with the exception of Land which had a fair value of P135,000 above its carrying amount. Also, Regis had a contingent liability which Maximillian estimated to have a fair value of P337,500. This has not changed as at September 30, 2020. Regis has not incorporated these fair value changes into its financial statements. Regis's share price at that date can be deemed to be representative of the fair value of the shares held by the non-controlling interest. Required: 1. In the consolidation statement of financial position, how much is the goodwill on the date of acquisition if the parent company used the Partial Approach? 2. In the consolidation statement of financial position, how much is the goodwill on the date of acquisition