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PROBLEM 1 Emmanuel Corporation owns 75% of the voting ordinary shares of Savior Corporation acquired at book value during 2019. Selected information from the accounts

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PROBLEM 1 Emmanuel Corporation owns 75% of the voting ordinary shares of Savior Corporation acquired at book value during 2019. Selected information from the accounts of Emmanuel and Savior for 2020 are as follows: Emmanuel Corp. Savior Corp. Sales P900,000 P500,000 Cost of sales 490,000 190,000 During 2020, Emmanuel sold merchandise to Savior for P50,000 at a gross profit of P20,000. Half of this merchandise remained in Savior Corp.'s inventory at December 31, 2020. Savior's December 31, 2019 inventory included unrealized profit of P5,000 on goods acquired from Emmanuel Corporation. Required: 1. Working paper elimination entries on December 31, 2020. 2. Consolidated sales. 3. Consolidated cost of sales

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