Reference no: EM132978167

Questions -

Q1. On July 1,2021, ABC Co. acquired 99% of the outstanding ordinary share capital of DEF Co. for P990,000 cash. The remaining 1% was held by a shareholder who was unwilling to sell the share. DEF's net assets had a book value of P950,000 and a fair market value of P50,000 more than the carrying value when it was acquired by ABC. The non-controlling interest using the full goodwill method should be reported at?

Q2. On January 1,2021 ABC acquired 90% of DEF. Analysis of data relative to this purchase indicated that goodwill of P70,000 was acquired in this purchase. The goodwill in unimpaired. On July 1,2021, DEF sold a patent to ABC. The sales price was P140,000. DEF's book value was P70,000. DEF estimated that the patent has a life of 5 years and no salvage value. It will use straight line depreciation. For 2023, ABC's net income is P560,000 from its own operations. DEF had net income of P140,000. What the 2023 net income attributable to equity holders of ABC?