The carrying value of Investment in Daddy Pig Corp. shares in 2017 is * 2 points Peppa Pig Inc. acquired 100,000 ordinary shares of Daddy Pig Corp. for P5 per share and 250,000 ordinary shares of Mommy Pig Inc. for P10 per share on January 2, 2016. Both Daddy and Mommy Pig have 1,000,000 ordinary shares outstanding. The book values of the net assets of Daddy Pig and Mommy Pig on the acquisition date were P4,500,000 and P9,000,000, respectively. The fair values of the net assets of both Daddy Pig and Mommy Pig approximated their book values on the acquisition date, except for one of Mommy Pig's depreciable asset having a remaining life of 5 years, which was understated by P500,000. Both securities are being held as long term investments. Your investigation revealed the following changes in Retained Earnings of Daddy Pig and Mommy Pig for 2016 and 2017 based on their respective audited financial statements: Daddy Pig Corp. Mommy Pig Inc. Retained earnings (Deficit), 1/1/16 P2,000,000 P350,000) Cash dividends, 2016 (250,000) Profit for 2016 400,000 650,000 Retained earnings, 12/31/16 P2,150,000 P300,000 Cash dividends, 2017 (300,000) (100,000) Profit for 2017 600,000 150,000 Retained Earnings, 12/31/17 P2,450,000 P250,000 Market values of shares: 12/31/16 P7.00 per share P12.00 per share Market values of shares: 12/31/17 6.50 per share 15.00 per share O P500,000 P700,000 O P650,000 O P505,000The carrying value of Investment in Mommy Pig Corp. shares in 2017 is * 2 points Peppa Pig Inc. acquired 100,000 ordinary shares of Daddy Pig Corp. for P5 per share and 250,000 ordinary shares of Mommy Pig Inc. for P10 per share on January 2, 2016. Both Daddy and Mommy Pig have 1,000,000 ordinary shares outstanding. The book values of the net assets of Daddy Pig and Mommy Pig on the acquisition date were P4,500,000 and P9,000,000, respectively. The fair values of the net assets of both Daddy Pig and Mommy Pig approximated their book values on the acquisition date, except for one of Mommy Pig's depreciable asset having a remaining life of 5 years, which was understated by P500,000. Both securities are being held as long term investments. Your investigation revealed the following changes in Retained Earnings of Daddy Pig and Mommy Pig for 2016 and 2017 based on their respective audited financial statements: Daddy Pig Corp. Mommy Pig Inc. Retained earnings (Deficit), 1/1/16 P2,000,000 (P350,000) Cash dividends, 2016 (250,000) Profit for 2016 400,000 650,000 Retained earnings, 12/31/16 P2,150,000 P300,000 Cash dividends, 2017 300,000) (100,000) Profit for 2017 600,000 150,000 Retained Earnings, 12/31/17 P2,450,000 P250,000 Market values of shares: 12/31/16 P7.00 per share P12.00 per share Market values of shares: 12/31/17 6.50 per share 15.00 per share O P2,500,000 P2,537,500 P2,650,000 P2,700,000Land improvements, assuming that on the date of acquisition, the old 2 points building is unusable and has a minimal fair value. * Rommel Company acquired land and building on April 1, 2020 by paying P9,000,000 and assuming a| mortgage of P1,000,000. The old building will be demolished for the construction of a new building. Proceeds from salvage of the demolition, P4,000; 2. Demolition cost of the old building, P33,000; Removal of safety fence, P9,800 Safety fence around construction site, P35,000; Service equipment and fixtures made a permanent part of the structure, P11,000; 6. Other overhead cost incurred as result of construction, P220,000' 7. Cost of paving parking lot adjoining building, P50,000 8. Rental fees generated on the portion of the building being used as a parking site, P23,500; 9. Broker's fee on the properties acquired, P10,000 10. Payment for claim for injuries not covered by insurance, P40,000; 11. Driveway and walk to building (part of building plan), P30,000; 12. Materials used in construction, P600,000; 13. Architect fee, P50,000; 14. Building permit and licenses, P60,000; 15. Cost of removing trees from the land, P70,000; 16. Legal fees for contract to purchase the land, P11,000; 17. Payments to tenants of the properties to induce them to vacate the premises, P3,000; 18. Payment to real estate agent, P40,000; 19. Cost of relocating and reconstructing the property belonging to others in order to acquire the properties, P23,000 20. Escrow fees on the properties acquired, P11,000; 21. Excavation cost, P12,000 22. Cost of option of the acquired properties, P20,000; 23. Unpaid real property taxes up to the date of acquisition, P14,000 QUESTIONS: Based on the above data, determine the adjusted cost of the following. D (Ctrl) P13,500 O P50,000 O P63,500 O P113,500Accounts receivable * 2 points As part of your audit of receivables of Jasmin Corporation, you performed a cut-off test of sales. Results of the cut-off test revealed the following: Recorded as Sales in December 31, 2017 Invoice Selling Cost Terms Shipment Received by No. Price Date customers 123 P18,000 P16,500 FOB Shipping Point 12/26/2017 12/29/2017 124 12,500 10,200 FOB Destination 12/26/2017 12/29/2017 125 8,680 7,240 FOB Destination 12/28/2017 01/02/2018 126 14,200 12,500 Shipped to consignee 12/29/2017 01/02/2018 127 9,000 7,500 FOB Shipping Point 12/30/2017 01/02/2018 128 10,000 7,750 FOB Destination 12/31/2017 01/03/2018 129 7,800 6,100 FOB Shipping Point 12/31/2017 01/02/2018 130 14,000 12,000 | Shipped to consignee 12/31/2017 01/02/2018 Recorded Sales in January 2018 Invoice Selling No. Price Cost Terms Shipment Received by Date customers 131 P21,000 P18,200 FOB Shipping Point 12/31/2017 01/03/2018 132 10,500 8,800 FOB Destination 12/30/2017 01/03/2018 133 4,500 3,200 FOB Destination 01/02/2018 01/03/2018 134 6,500 5,000 FOB Shipping Point 01/02/2018 01/05/2018 A count of all inventories within the premises was made in the afternoon of December 30, 2017 (after deliveries were made for the day). The total cost of the count was recorded as inventories as of December 31, 2014. The goods shipped to consignees are still unsold at December 31. The unadjusted ledger balances show the following: Cost of sales P 842,000 Sales 1,320,000 Inventories 425,000 Accounts receivables 276,500 O P229,620 P250,620 P261, 120 P289,320How much should be reported as other comprehensive income/loss in the 2 points statement of financial position as of December 31, 2017 in relation to the investments? * Peppa Pig Inc. acquired 100,000 ordinary shares of Daddy Pig Corp. for P5 per share and 250,000 ordinary shares of Mommy Pig Inc. for P10 per share on January 2, 2016. Both Daddy and Mommy Pig have 1,000,000 ordinary shares outstanding. The book values of the net assets of Daddy Pig and Mommy Pig on the acquisition date were P4,500,000 and P9,000,000, respectively. The fair values of the net assets of both Daddy Pig and Mommy Pig approximated their book values on the acquisition date, except for one of Mommy Pig's depreciable asset having a remaining life of 5 years, which was understated by P500,000. Both securities are being held as long term investments. Your investigation revealed the following changes in Retained Earnings of Daddy Pig and Mommy Pig for 2016 and 2017 based on their respective audited financial statements: Daddy Pig Corp Mommy Pig Inc. Retained earnings (Deficit), 1/1/16 P2,000,000 (P350,000) Cash dividends, 2016 (250,000) Profit for 2016 400,000 650,000 Retained earnings, 12/31/16 P2,150,000 P300,000 Cash dividends, 2017 (300,000) (100,000) Profit for 2017 600,000 150,000 Retained Earnings, 12/31/17 P2,450,000 P250,000 Market values of shares: 12/31/16 P7.00 per share P12.00 per share Market values of shares: 12/31/17 6.50 per share 15.00 per share O P50,000 gain O P100,000 gain O P150,000 gain O P150,000 lossCompute the cost of goods manufactured * 2 points On December 31, a fire damaged the finished goods of Francis Corporation. Financial records before the fire follow: January 1 December 31 Gross Profit 20% Purchase discounts P 80,000 Purchase returns and allowances 70,000 Freight-in (on account 100.000 Purchases 3,000,000 Sales discounts 100,000 Sales 5.100.000 Finished goods P 400,000 ? Work in process 250,000 280.000 Direct materials 200,000 320,000 Accounts payable 555,000 250,000 Additional information: Cost of goods out on consignment is P20,000, and finished goods damaged by fire can be sold at a salvage value of P10,000. Direct labor is P900,000 and Factory overhead is P675,000. P4,375,000 O P4,575,000 P4,425,000 P4,415,000New building, assuming that on the date of acquisition, the old building is 2 points unusable and has a minimal fair value. * Rommel Company acquired land and building on April 1, 2020 by paying P9,000,000 and assuming a| mortgage of P1,000,000. The old building will be demolished for the construction of a new building. 1. Proceeds from salvage of the demolition, P4,000; 2. Demolition cost of the old building, P33,000; 3. Removal of safety fence, P9,800; 4. Safety fence around construction site, P35,000; 5. Service equipment and fixtures made a permanent part of the structure, P11,000; 6. Other overhead cost incurred as result of construction, P220,000' Cost of paving parking lot adjoining building, P50,000; 8. Rental fees generated on the portion of the building being used as a parking site, P23,500; 9. Broker's fee on the properties acquired, P10,000; 10. Payment for claim for injuries not covered by insurance, P40,000; 11. Driveway and walk to building (part of building plan), P30,000; 12. Materials used in construction, P600,000; 13. Architect fee, P50,000; 14. Building permit and licenses, P60,000; 15. Cost of removing trees from the land, P70,000; 16. Legal fees for contract to purchase the land, P11,000; 17. Payments to tenants of the properties to induce them to vacate the premises, P3,000: 18. Payment to real estate agent, P40,000; 19. Cost of relocating and reconstructing the property belonging to others in order to acquire the properties, P23,000; 20. Escrow fees on the properties acquired, P11,000; 21. Excavation cost, P12,000; 22. Cost of option of the acquired properties, P20,000; 23. Unpaid real property taxes up to the date of acquisition, P14,000 QUESTIONS: Based on the above data, determine the adjusted cost of the following. (Ctrl) P1,265, 125 P1,077,800 P1,027,800 P1,056,800Assuming that Tiffany Corporation sold 18,000 shares of its Maricris 2 points shares investment on December 31, 2017 at its prevailing fair value, how much in total should be recognized in the profit or loss as a result of the transaction? * On January 1, 2017, Tiffany Corporation acquired 30,000 shares of Maricris Corporations 100,000 shares outstanding for P5,000,000. The book value of Maricris identifiable net assets on this date was at P14,000,000. All its assets carrying amount approximated their fair values except for a depreciable assets with a remaining useful life of 5 years, which was undervalued on this date by P1,600,000. Maricris reported total comprehensive income in 2017 at P4,000,000 which was net of a foreign exchange loss reported in as other comprehensive loss at P800,000. Maricris also paid dividends at P1,500,000 at the end of the year, P500,000 of which is from pre-acquisition Retained Earnings. The FMV of shares on this date was at P210 per share. O P646,000 O P406,000 O P387,600 O P243,600Assuming that Tiffany Corporation is a medium-sized entity and that the 2 points company uses the FV method in accounting for its investment in Maricris, how much in total should be recognized in Tiffany Corporation's profit or loss for 2017? * On January 1, 2017, Tiffany Corporation acquired 30,000 shares of Maricris Corporations 100,000 shares outstanding for P5,000,000. The book value of Maricris identifiable net assets on this date was at P14,000,000. All its assets carrying amount approximated their fair values except for a depreciable assets with a remaining useful life of 5 years, which was undervalued on this date by P1,600,000. Maricris reported total comprehensive income in 2017 at P4,000,000 which was net of a foreign exchange loss reported in as other comprehensive loss at P800,000. Maricris also paid dividends at P1,500,000 at the end of the year, P500,000 of which is from pre-acquisition Retained Earnings. The FMV of shares on this date was at P210 per share. O P300,000 O P450,000 P1,300,000 O P1,750,000