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What amount should be disclosed separately in equity

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Reference no: EM132696378

SC Corporation plans to dispose of a group of net assets that form part of a disposal group. The net assets at December 31, 2020 are:

-----------------------------------------------------------------------Carrying Value at December 31, 2020

Goodwill ----------------------------------------------------------------------- 6,000,000

Property, Plant and Equipment ---------------------------------------------18,000,000

Inventory------------------------------------------------------------------------10,000,000

Financial Assets (profit of P2,000,000 recognized in equity) ---------7,000,000

Financial liabilities ------------------------------------------------------------( 4,000,000)

Total ----------------------------------------------------------------------------P37,000,000

Before the date of reclassification, the property, plant and equipment had a fair value of P16,000,000, the inventory has a net realizable value of P9,000,000. The fair value less costs to sell of the disposal group is P25,000,000.

Problem 1: Immediately after classification as held for sale of the disposal group, what amount should be disclosed separately in equity relating to non-current asset held for sale?

Group of answer choices

a. None

b. P9,000,000

c. P4,000,000

d. P2,000,000

Reference no: EM132696378

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