Determine the amount charged to expense

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Question - Parent Company issued 50,000 shares of P100 par ordinary share for all outstanding shares of Subsidiary Company in a business combination consummated in July 1, 2020. Parent Company's ordinary shares was selling at P102 per share at the time of the consummation of the combination. Subsidiary Company's net asset on the date of acquisition has a carrying amount of P3,800,000. Out of pocket expenses of the combination were as follows:

Legal fees 50,000

Finder's fees 25,000

CPA audit fees 50,000

Printing of stock certificates 65,000

Required - Determine the amount charged to expense?

Reference no: EM133101618

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