Advanced Accounting - Dayag 2015 - Chapter 15 - Multiple Choice Solution (26-28)
Advanced Accounting - Dayag 2015 - Chapter 15 - Multiple Choice Solution (26-28)
Advanced Accounting - Dayag 2015 - Chapter 15 - Multiple Choice Solution (26-28)
If partial-goodwill:
Total Assets of Power Corp. P 791,500
Less: Investment in Silk Corp. (150,500)
P 641,000
Book value of assets of Silk Corp. 405,000
Book value reported by Power and
Silk P1,046,000
Increase in inventory (P85,000 - P70,000) 15,000
Increase in land (P45,000 - P25,000) 20,000
Goodwill (partial) 28,000
Total assets reported P1,109,000
28. d P701,500 = (P61,500 + P95,000 + P280,000) + (P28,000 + P37,000
+ P200,000)