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Question - On January 1, 2019, Park Bo Gum Company acquired 40% of the ordinary shares of an associate. On such date, assets and liabilities of the investee were recorded at fair value and the acquisition showed that goodwill of P1,000,000 was acquired. The investee reported net income of P8,000,000 for 2019.
What amount of Share in Profit of Associate should be reported by Park Bo Gum Company for 2019?
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