Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Solution please. Consider the following information for the questions below: Statement of financial position for Puro Corporation and Sato Company on December 31, 2011, are

image text in transcribed

image text in transcribed

Solution please.

Consider the following information for the questions below: Statement of financial position for Puro Corporation and Sato Company on December 31, 2011, are given below: Pero Sato Corporation Couum Cash and cash equivalents P 70,000 P 90.000 Inventory 100.000 60,000 Property and equipment (net) 500,000 250,000 Investment in Sato Company 260.000 Total assets P930.000 P400,000 Current Liabilities P180,000 P 60,000 Long-Term Liabilities 200,000 90,000 Common stock 300.000 100,000 Retained earings 250.000 150.000 Total liabilities and stockholder's equity P930.000 P400.000 Puro Corporation purchased 80 percent ownership of Sato Company on December 31, 2011, for P260.000. On that date. Sato Company's property and equipment had a fair value of P50,000 more than the book value shown. All other book values approximated fair value. In the consolidated statement of financial position on December 31. 2011 d P800,000 d P160,000 9. What amount of total stockholders' equity will be reported? a P550,000 b. P615,000 P750,000 10. What amount of non-controlling interest will be reported? a. P65,000 b. P 60,000 c. P110,000 11. What amount of total liabilities will be reported? a. P240,000 b. P290,000 c. P380,000 12. What amount of total assets will be reported? a P 930,000 b. P1.070,000 C P1.145.000 d P530,000 d P1,140,000

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Smoke And Mirrors Inc Accounting For Capitalism

Authors: Nicolas Vron, Matthieu Autret, Alfred Galichon, George Holoch

1st Edition

0801444160, 978-0801444166

More Books

Students also viewed these Accounting questions

Question

What are the factors affecting organisation structure?

Answered: 1 week ago

Question

What are the features of Management?

Answered: 1 week ago

Question

Briefly explain the advantages of 'Management by Objectives'

Answered: 1 week ago

Question

d. Who are important leaders and heroes of the group?

Answered: 1 week ago