Reference no: EM132752589

On November 30, 2017 Company A acquired 15,000 of Company B's Php 8 par value ordinary share at its quoted price of Php 9.40 per share as well as 6,000 of Company B's 95 Pro 30 par value cumulative, nonparticipating preference shares at its quoted price of Php 22. Initial direct cost in acquiring Company B's ordinary and preference shares were Php 5,000 and Pnp 4,500, respectively

• Company B nas 100,000 ordinary and 12,500 preference shares outstanding The securities were designated under instruments measured at
• On December 31, 2017 Company Bs ordinary shares were quoted at Php 10 30, while the the preference shares were quoted at Pho 23.25 Likewise, estimated disposal costs were Pnp 5,200 and Pnp 4,750, respectively
• Company B reported a net income of Php 580,000 for the year ended December 31, 2017 but did not declare any dividends.
• On December 31, 2018. Company B's ordinary shares were quoted at Php 11,65, while the preference shares were quoted at Pnp 24 40 Estimated disposal costs were Php 5700 and Php 5,250, respectively
• Company B reported a net income of Php 720,000 for the year ended December 31, 2018 Total cash dividends declared amounted to Php 275.000 on November 20, 2018 for holders on record on December 20, 2018 to be paid on January 20, 2010,

Problem 1: The unrealized gain/loss included in the OC section for the period ending 2018. in relation to the investment in Company B's preference share is