The Lark Co. acquired a 70% interest in the Hale Co. for P1,960,000 when the fair value of Hale's identifiable assets and liabilities was P700,000 and elected to measure the non-controlling interest at its share of the identifiable net assets. Annual impairment reviews of goodwill have not resulted in any impairment losses being recognized. Hale's current statement of financial position shows share capital of P100,000 revaluation reserve at P300,000 and retained earnings P1,400,000 Under IFRS 3, Business Combination, what figure is respect of goodwill should be carried in Lark's consolidated statement of financial position?

Select one:

a.

P1,260,000

b.

P1,470,000

c.

P160,000

d.

P700,000