CHAPTER 18

MULTIPLE CHOICES COMPUTATIONAL

18-1:

a
Equipment at original cost
Accumulated depreciation:
Time of sale
Current depreciation based on
Original cost (P500,000/10 years

18-2:

P500,000
P250,000
50,000

b
Net income Sol
Unrealized gain on sale of computer, Dec. 31
Adjusted net income
NCI proportionate share
NCI in net income of subsidiary

18-3:

P100,000
( 30,000)
P 70,000
30%
P 21,000

b
2005
P200,000
(30,000)
P170,000
100,000
P270,000

Net income from own operations Prime

Unrealized gain Downstream
Adjusted net income Prime
Second Company net income
Consolidated net income
18-4:

18-5:

P300,000

2006
P250,000
__P250,000
150,000
P400,000

c
Net income Saw
Unrealized loss-Upstream
Realized loss ((P12,000 / 5) x 6/12
Adjusted net income Saw

P100,000
12,000
( 1,200)
P110,800

NCI in net income of subsidiary (P110,800 x 25%)

P 27,700

c
Equipment at original cost
Accumulated depreciation:
Time of sale
Current depreciation (P900,000/10)

P1,000,000
P360,000
90,000

P 450,000

108

18-6:

a
Adjusted net income Susie (P12,000 / 40%)
Add back unrealized gain Upstream
Net income of Susie 2011

18-7:

a
Original cost
Amount debited to Truck account
Selling price of the truck Amount paid

18-8:

P100,000
(48,000)
P 52,000

c
Net income Po
Unrealized gain, Dec. 31 DS
Net income from own operation Po
Net income of So
Consolidated net income, Dec. 31, 2011
Attributable to NCI (P180,000 x 20%)
Attributable to parent

18-9:

P 30,000
90,000
P120,000

P200,000
(30,000)
270,000
180,000
P350,000
(36,000)
P314,000

b
NCI, January 1, 2011 (P1,000,000 x 20%)
NCI in dividends paid by subsidiary (P30,000 x 20%)
NCI in net of subsidiary (P65,00 x 20%)
NCI, December 31, 2011

P 200,000
( 6,000)
13,000
P 207,000

18-10: c
Consolidated net income attributable to parent:
Net income Pink
Unrealized gain, July 1- Downstream
Realized gain, Dec. 31 (P50,000 / 10) x 6/12
Adjusted net income Pink
Sodas adjusted net loss:
Net loss
P(40,000)
Unrealized loss, 1/1 Upstream
15,000
Realized loss, 12/31 (P15,000/5)
( 3,000)
Consolidated net income, Dec. 31, 2011
Attributable to NCI (P28,000 x 20%)
Attributable to parent

P300,000
( 50,000)
2,500
P252,500

(28,000)
P224,500
5,600
P230,100

109

18-10, Continued:
Non-controlling interest (NCI)
NCI, January 1, 2011 [(P1,240,000/80%) x 20%)
P 310,000
NCI share in dividends paid by subsidiary (P30,000 x 20%)
( 6,000)
NCI in adjusted net income (loss) of subsidiary
( 5,600)
NCI, December 31, 2011
P 198,400
18-11: a
Net assets, Dec. 31, 2011
NCI ,Dec. 31, 2011 (based on fair value of net assets)
Add: NCI share of unrealized profit in ending inventory -Upstream
(P36,000 x 20%) x 20%
NCI share of unrealized gain on sale of equipment- Upstream
(P60,000 x 20%) (P12,000 / 5)
NCI before adjustment
Net assets Steve, Dec.31, 2011 (P200,000 / 20%)
Investment in Steve Company stock Equity method
Investment cost:
Net assets, Dec. 31, 2011
Less net income steve
NCI
P36,960
NCI share of unrealized profit in ending
Inventory Upstream
1,440
BCI share of unrealized gain on sale of
Equipment Upstream
9,600
NCI per book
P48,000
Divided by
20%
Net assets, Jan. 1, 2011
Parents proportionate share
Book value of interest acquired
Add: difference
Price paid
Add investment income:
Peters share of Steve net income (P240,000 x 80%)
Unrealized profit in ending inventory Downstream
(P24,000 x 20%/120%) x 100%
Unrealized profit in beginning inventory Upstream
(P36,000 x 25/125%) x 80%
Unrealized gain on sale of equipment Upstream
(P48,000 9,600)
Investment in Steve Company, Dec. 31, 2011

P188,960
1,440
9,600
P200,000
P1,000,000

P1,000,000

240,000
P 760,000
x 80%
P 608,000
20,000
P 628,000
P 192,000
( 4,000)
( 5,760)
( 38,400)
P 771,840

110

18-12: a
Net income from own operations Pipe
Adjusted net income - Smoker
Net income
Unrealized gain, July 1, 2011 Upstream
Realized gain, Dec. 31, 2011 (P50,000/5)x
Consolidated net income, Dec. 31, 2011

P400,000
P100,000
(50,000)
5,000

55,000
P455,000

18-13: d
Net income from operations Parent
Adjusted net income of Sub:
Net income
Unrealized gain Upstream
Realized gain: 2010 (P9,000/3) x
2011 (P9,000/3)
Adjusted net income
Consolidated net income
Attributable to NCI
Attributable to parent

2010
P100,000

2011
P120,000

P 60,000
( 9,000)
750
P 51,750
P151,750
(10,350)
P141,400

P 75,000
3,000
P 78,000
P198,000
(15,600)
P182,400

18-14: d
Investment in Sili Company stock Equity method
Price paid
Investment income net of dividends 2007 to 2010:
Increase in earnings (P500,000 P200,000) x 75%
Investment income, Dec. 31, 2010:
Share of Silis net income (P60,000 x 75%)
45,000
Unrealized gain on sale of land Downstream
(15,000)
Unrealized loss on sale of building Downstream
10,000
Realized loss on sale of building (P10,000 / 5) x 75% ( 1,500)
Investment income, Dec. 31, 2011:
Share of Silis net income (P70,000 x 75%)
52,500
Realized loss (P10,000 / 5)
(2,000)
Dividends received:
2010: (P10,000 x 75%)
7,500
2011: (P20,000 x 75%)
15,000
Investment in Sili Company stock, Dec. 31, 2011

P500,000
225,000

38,500
50,500
(22,500)
P791,500

111

18-15: a
Investment in Saw Company stock, Dec. 31, 2011
Price paid
Investment income 2005 to 2009:
Increase in earnings (P500,000 P300,000) x 90%
Investment income 2010 (see above)
Investment income 2011:
Powers share of Saws net income (P120,000 x 90%) P108,000
Realized loss on sale of warehouse (P20,000/2) x 90%
(9,000)
Dividends received:
2010: ( P20,000 x 90%)
P 18,000
2011: ( P30,000 x 90%)
27,000
Investment in Saw Company stock account balance 12/31/11

P550,000
180,000
101,250
99,000
(45,000)
P885,250

PROBLEMS
Problem 18-1
Computation of the missing amounts in the working paper eliminations for P Corporation and S
Company:
(1)
P640 (P3,200 x 20%)
(2)
P2,560 (P3,200 x 80%)
(3)
P1,600 (P800 x 2)
(4)
P320 (P1,600 x 20%)
(5)
P1,280 (P1,600 x 80%)
(6)
P3,200 (P800 x 4)
Problem 18-2
a.

Consolidated Net Income

Net income from own operations P Company
Unrealized gain on sale of equipment, Dec. 31 Downstream
Adjusted net income P Co,
S Company net income
Consolidated net income

P200,000
(30,000)
P170,000
180,000
P350,000

b.

NCI in net income of subsidiary (P180,000 x 20%)

P 36,000

c.

Non-controlling interest (NCI):

NCI, January 1, 2011 [(P720,000/80%) x 20%]
NCI in dividends paid by subsidiary (P60,000 x 20%)
NCI in net income of subsidiary (P180,000 x 20%)
NCI, December 31, 2011

P180,000
(12,000)
36,000
P204,000

112

Problem 18-3
Pony Corporation and Subsidiary
Consolidated Income Statement
Year Ended December 31, 2011
Sales (P500,000 + P300,000)
Gain on sale of machinery (schedule 1)
Total revenue
Cost of sales P200,000 + P130,000)
Gross profit
Expenses:
Depreciation (P50,000 +P30,000 P5,000)
Other expenses (P80,000 + P140,000)
Consolidated net income
Attributable to NCI [(P190,000 + P5,000) +10,000) x 25%]
Attributable to parent

P800,000
20,000
820,000
330,000
490,000
P 75,000
220,000

Schedule 1:
Selling price Dec. 28, 2011
Book value (P65,000 5) x3
Gain on sale
Unrealized gain (P25,000 P15,000)
Total gain

295,000
785,000
(28,750)
P266,250

P36,000
26,000
10,000
10,000
P20,000

Problem 18-4
a.

b.

Consolidated Net Income

Net income from own operations P Company
Adjusted net income of S Company:
Net income S
Unrealized gain, 4/1/11 - Upstream
Realized gain, 12/31/11 (P30,000/5) x 9/12
Consolidated net income
Attributable to NCI (P124,500 x 20%)
Attributable to parent

P300,000
P150,000
( 30,000)
4,500

Non-controlling interest (NCI)

NCI, January 1, 2011 [(P800,000/80% x 20%]
NCI share in dividends paid by subsidiary (P50,000 x 20%)
NCI in adjusted net income of subsidiary
NCI, December 31, 2011

124,500
424,500
(24,900)
P399,600
P200,000
( 10,000)
24,900
P214,900

113

Problem 18-5
Texas Company and Subsidiary
Consolidated Income Statement
Year Ended December 31, 2011
Sales
Cost of goods sold
Gross profit
Expenses (P200,000 + P100,000 P8,000 )
Consolidated net income
Attributable to NCI (P150,000 x 25%)
Attributable to parent

P1,500,000
650,000
850,000
292,000
P 558,000
37,500
P 520,500

Adjustment for expenses (depreciation) = P40,000 / 5 years.

Problem 18-6
a.

Working Paper Elimination Entries Dec. 31, 2011

(1)

(2)

(3)

(4)

(5)

(6)

(7)

Dividend income
NCI
Dividends declared Jupiter
To eliminate intercompany dividends

4,000
1,000
5,000

Common stock Jupiter

Retained earnings Jupiter
Investment in Jupiter Company
NCI
To eliminate equity accounts of Jupiter as of the
date of acquisition

100,000
50,000

Goodwill
Investment in Jupiter Company
To allocate excess to goodwill

40,000

120,000
30,000

40,000

Retained earnings, Jan. 1 - Vincent

NCI
Land
To eliminate unrealized gain on sale of land Upstream.

8,000
2,000

Gain on sale of equipment

Building and equipment
Accumulated depreciation
To eliminate gain on sale of equipment

20,000
5,000

Accumulated depreciation
Depreciation
To adjust excess depreciation

2,000

Accounts payable

7,000

10,000

25,000

2,000

Accounts receivable
To eliminate intercompany payables and receivables.
(8)

NCI in net income of subsidiary

NCI
(P40,000 10,000) x 20%

7,000
6,000
6,000

114

Problem 18-6, Continued:

b.

Vincent Company and Subsidiary

Consolidation Working Paper
December 31, 2011

Income Statement
Sales
Gain on sale of equipment
Dividend income
Total revenues
Cost of goods sold
Depreciation
Other expenses
Total cost and expenses
Net/consolidated income
NCI in net income of subsidiary
Net income carried forward
Retained Earnings Statement
Retained earnings, Jan.1
Net income from above
Total
Dividends declared
Retained earnings, Dec. 31
Carried forward
Statement of FP
Cash and receivables
Inventory
Land
Buildings and equipment
Investment in Jupiter Company
Goodwill
Total
Accumulated depreciation
Accounts payable
Bonds payable
Common stock
Retained earnings from above
NCI
Total

Vincent
Company

Jupiter
Company

240,000
20,000
4,000
264,000
140,000
25,000
15,000
180,000
84,000

120,000

84,000

40,000

294,000

105,000

84,000
378,000
30,000

40,000
145,000
5,000

348,000

140,000

113,000
260,000
80,000
500,000
160,000

35,000
90,000
80,000
150,000

1,113,000

355,000

205,000
60,000
200,000
300,000
348,000

45,000
20,000
50,000
100,000
140,000

Adjustments

& Eliminations

Debit

Credit

(5) 20,000
(1) 4,000
120,000
60,000
15,000
5,000
80,000
40,000

(6) 2,000

(8) 6,000

(2) 50,000
(4) 8,000
(1) 5,000

96,000
437,000
30,000
407,000

(7) 7,000
(4) 10,000
(5) 5,000
(2)120,000
(3) 40,000

355,000

360,000
360,000
200,000
38,000
20,000
258,000
102,000
(6,000)
96,000
341,000

(3) 40,000

1,113,000

Consolidated

(6) 2,000
(7) 7,000

141,000
350,000
150,000
655,000
40,000
1,336,000

(5) 25,000

(2)100,000
(1) 1,000
(4) 2,000

(2) 30,000
(8) 6,000

245,000

245,000

273,000
73,000
250,000
300,000
407,000
33,000
1,336,000

115

.Problem 18-6, Continued:

c.

Consolidated Financial Statements

Vincent Company and Subsidiary
Consolidated Statement of Financial Positionj
December 31, 2011
Assets
Cash and receivables
Inventory
Land
Buildings and equipment
Less: Accumulated depreciation
Goodwill
Total assets
Liabilities and Stockholders equity
Liabilities
Accounts payable
Bonds payable
Total liabilities
Stockholders Equity
Common stock
Retained earnings
NCI
Total liabilities and stockholders equity

P 141,000
350,000
150,000
P655,000
273,000

382,000
40,000
P1,063,000

73,000
250,000
P 323,000
P300,000
407,000
33,000

740,000
P1,063,000

Vincent Company and Subsidiary

Consolidated Income Statement
Year Ended December 31, 2011
Sales
Cost of goods sold
Gross profit
Expenses: Depreciation
Other expenses
Consolidated net income
Attributable to NCI
Attributable to parent

P 360,000
200,000
160,000
P 38,000
20,000

58,000
102,000
6,000
P 96,000

Vincent Company and Subsidiary

Consolidated Retained Earnings
Year Ended December 31, 2011
Retained earnings, Jan. 1 Vincent
Retained earnings, Jan. 1 Jupiter
Total
Consolidated net income attributable to parent
Dividends declared Vincent
Consolidated retained earnings

P 294,000
47,000
341,000
96,000
( 30,000)
P 407,000

116

Problem 18-7
P Company and Subsidiary
Consolidated Working Paper
Year Ended December 31, 2011

P Company

S Company

Income Statement
Sales
Dividend income
Total revenue
Cost of goods sold

600,000
16,000
616,000
350,000

315,000

Operating expenses
Total costs and expenses
Net income

150,000
500,000
116,000

60,000
210,000
105,000

315,000
150,000

NCI in net income of S

116,000

105,000

Retained Earnings Statement

Retained earnings, January 1

280,000

150,000

Net income from above

Dividends declared
RE, 12/31 carried forward

116,000
(60,000)
336,000

105,000
(20,000)
235,000

Statement of FP
Inventory

130,000

50,000

Other current assets

Investment in S Company

241,000
200,000

235,000

(7) 40,000
(3) 16,000
(9) 5,000
(6) 6,250

875,000
875,000
(7) 40,000
(8) 10,000
(11) 3,000

1,106,000

Accumulated depreciation

120,000

30,000

Current liabilities
Non-current liabilities
Common stock
APIC
RE, 12/31 from above

150,000
200,000
200,000
100,000
336,000

70,000
150,000
50,000
50,000
235,000

NCI

186,000
(1) 6,250
(4)100,000
(6) 18,750
(8) 8,000
(10) 12,000

285,000

(3) 20,000

(5) 12,500

(6) 12,500
(9) 5,000

186,000
(60,000)
411,000
175,000
476,000

(5) 25,000

(10) 15,000

(10) 3,000
(11) 3,000

(6) 12,500

585,000

395,000

12,500
20,000
220,000
585,000
20,000
1,508,500
156,500
220,000
350,000
200,000
100,000
411,000

(4) 50,000
(4) 50,000
(3) 4,000
(8) 2,000

1,106,000

455,000
213,250
668,250
206,750
(20,750)

(5) 12,500
20,000
140,000
375,000

Consolidated

(4)160,000
(5) 40,000
80,000
200,000
20,000
585,000

Totals

Adjustments
Credit

(2) 20,750

Net income carried forward

Goodwill
Other long-term investments
Land
Buildings and equipment
Intangible assets
Totals

Eliminations/
Debit

(1) 6,250
(2) 20,750
(4) 40,000
(5) 10,000
395,000

71,000

1,508,000

117

Problem 18-7, continued:

Determination and Allocation of Excess Schedule

Price paid for investment

Less book value of interest acquired:
Total equity
Interest acquired
Book value of interest acquired
Excess
Allocations
Inventory
Equipment
Total
Goodwill

Company
Implied
Fair Value
P250,000

Parent
Price
(80%)
P200,000

NCI
Value
(20%)
P 50,000*

200,000

P200,000
80%
P160,000
P 40,000

P200,000
20%
P 40,000
P 10,000

P 50,000
(12,500)
(25,000)
(37,500)
P12,500

* (P200,000/80%) x 20% = P50,000

Amortization
Inventory
Equipment (P25,000/4)

P12,500
6,250

Explanations of Eliminations and Adjustments:

(1)
(2)
(3)
(4)
(5)
(6)
(7)
(8)
(9)
(10)
(11)

To recognize NCI share in subsidiarys adjusted prior years undistributed earnings

(P50,000 P18,750) 20% = P6,250.
To recognized NCI in net of subsidiary for the current year
(P105,000 + P10,000 P5,000 6,250) x 20% = P20,750
To eliminated intercompany dividends paid the subsidiary.
To eliminate equity of the subsidiary at date of acquisition.
To allocate excess.
To amortize allocated excess.
To eliminate intercompany sales.
To eliminate beginning inventory profit.
To eliminate ending inventory profit.
To eliminate fixed asset gain at beginning of year.
To eliminate realized gain on fixed assets.

118

Problem 18-8
Supporting computations
(1)
Determination and allocation of excess schedule;
Company fair value
Less book value of interest acquiree:
Smalls equity
Interest acquired
Book value of interest acquired
Excess
Allocated to patents
Goodwill

Amortization of patents (P120,000 / 12)

Total
P620,00
350,000
270,000
( 120,000)
P150,000

Price paid (60%)

P372,000

NCI (40%)
P248,000

350,000
60%
210,000
162,000

350,000
40%
140,000
108,000

P 10,000

(2)

Unrealized gain on intercompany sale of building Upstream, Jan. 1, 2011:

Unrealized gain at date of sale (P80,000 P30,000)
P 50,000
Realized gain (P50,000 / 5) x 2 years
(20,000)
Unrealized gain as of Jan. 1, 2011
P 30,000

(3)

Realized profit from intercompany sale of inventory Downstream, 1/1/11:

Remaining inventory as of Dec. 31, 2010
P 50,000
Gross profit rate on sales 2010 (P30,000 / P150,000)
x 20%
Realized profit as of Jan. 1, 2011
P 10,000

(4)

Unrealized profit from intercompany sale of inventory Downstream, 12/31/11

Remaining inventory as of Dec. 31, 2011
P 40,000
Gross profit rate on sales 2011 (P48,000 / P160,000)
x 30%
Unrealized profit as of Dec. 31, 2011
P 12,000

Consolidated balances 2011

a.

b.

Cost of goods Sold

Cost of goods sold Apex
Cost of goods sold Small
Intercompany sale of inventory 2011
Realized profit on beginning inventory
Unrealized profit on ending inventory
Consolidated

P 460,000
205,000
(160,000)
( 10,000)
12,000)
P 507,000

Operating Expenses
Operating expenses Apex
Operating expenses Small
Amortization (No. 1 above)
Excess depreciation (P50,000 / 5 years)
Consolidated

P 170,000
70,000
10,000
(10,000)
P 240,000

119

c.

Consolidated Net Income Attributable to Parent

Sales (after elimination of intercompany sales)
Cost of goods sold (a)
Operating expenses (b)
NCI in net income of subsidiary:
Net income Small
Realized gain on sale of building Upstream
Adjusted net income
NCI
Attributable to parent

P 840,000
(507,000)
(240,000)
P25,000
10,000
P35,000
x 40%

( 14,000)
P 79,000

d.

Consolidated Retained Earnings, Jan. 1, 2011

Retained earnings, Jan. 1, 2010 Apes
P 690,000
Amortization of patents 2005 to 2010(P10,000 x 6)
(60,000)
Unrealized profit on inventory, 2010 Downstream
(10,000)
Unrealized gain on sale of building, 1/1/11 - Upstream (P30,000 x 60%)
(18,000)
Consolidated retained earnings, Jan. 1, 2011
P 602,000

e.

Consolidated Inventory
Inventory Apex
Inventory Small
Unrealized profit in inventory Dec. 31, 2011
Consolidated inventory

P 233,000
229,000
( 12,000)
P 450,000

Consolidated Building
Buildings Apex
Buildings Small
Unrealized gain, Jan. 1, 2011
Realized gain, 2009 2009 (P10,000 x 3 )
Consolidated buildings

P 308,000
202,000
(50,000)
30,000
P 490,000

Consolidated Patents
Patents Small
Allocation
Amortization, 2009 2011 (P10,000 x 7)
Consolidated patents (net)

P 20,000
120,000
( 70,000)
P 70,000

f.

g.

h.

Consolidated Common Stock = P300,000 (Apex common stock)

120

Problem 18-9
P Company and Subsidiary
Consolidated Worksheet
Year Ended December 31, 2011
P Company
Income Statement
Sales
Dividend income
Total revenue
Cost of goods sold
Operating expenses
Total costs and expenses
Net income carried forward
Retained Earnings Statement
Retained earnings, Jan. 1
Net income from above
Dividends paid
RE, 12/31, carried forward
Statement of FP
Cash
Accounts receivables (net)
Inventories
Land, buildings, and equipment
Investment in S Company

S Company

1,900,000
40,000
1,940,000
1,180,000
550,000
1,730,000
210,000

1,500,000

250,000

206,000

210,000

190,000
(40,000)
356,000

460,000

1,500,000
870,000
440,000
1,310,000
190,000

285,000
430,000
530,000
660,000
750,000

150,000
350,000
410,000
680,000

2,655,000

1,590,000

185,000

210,000

Accounts payable
Common stock, P10 par
APIC
Retained earnings from above

670,000
1,200,000
140,000
460,000

544,000
400,000
80,000
356,000

Totals

2,655,000

1,590,000

Goodwill
Totals
Accumulated depreciation

Eliminations
Debit

Adjustments
Credit

(7)180,000
(1) 40,000
(8) 18,000
(4) 9,000

(7)180,000
(6) 4,000

(2)156,000
(4) 18,000
(5) 24,000

3,220,000
3,220,000
1,888,000
995,000
2,883,000
337,000
258,000

(1) 40,000

(3) 54,000

Consolidated

(9) 75,000
(8) 18,000
(5) 30,000
(2)636,000
(3)114,000

(3) 60,000

337,000
595,000
435,000
705,000
922,000
1,364,000
60,000
3,486,000

(5) 6,000
(6) 4,000
(9) 75,000
(2)400,000
(2) 80,000

(4) 27,000

1.124,000

1,124,000

412,000
1,139,000
1,200,000
140,000
595,000
3,486,000

Determination and Allocation of Excess Schedule

Price paid by the parent
Less book value of interest acquired (100%)
Common stock S Company
Additional paid in capital S Company
Retained earnings S Compay
Excess
Allocated to machinery
Goodwill

P750,000
P400,000
80,000
156,000

636,000
P114,000
(54,000)
P 60,000

121

Problem 18 10
Pluto Corporation and Subsidiary Star Corporation
Comparative Consolidated Income Statement
Years Ended December 31, 2010 and 2011
.
.
Sales
Cost of goods sold
Gross profit
Operation expenses
Consolidated net income
NCI in net income of subsidiary
Attributable to equity holders of Pluto

December 31
2011
P800,000
442,000
358,000
178,000
180,000
10,000
P170,000

2010
P660,000
368,000
292,000
138,000
154,000
10,000
P144,000

2011

2010

.
.
.
.
.
.

Supporting computations:
.
.
Consolidated sales:
Combined sales
Less: intercompany sales
Consolidated sales

P850,000
(50,000)
P800,000

P700,000
(40,000)
P660,000

Consolidated cost of goods sold:

Combined costs of good sold
Intercompany sales
Unrealized profit in ending inventory
Unrealized profit in beginning inventory
Consolidated cost of goods sold

P490,000
(50,000)
10,000
(8,000)
P442,000

P400,000
(40,000)
8,000
P368,000

.
.

Consolidated operating expenses

Combined operating expenses
Realized gain on sale of equipment (P10,000/.2)
Consolidated operating expenses

P180,000
(2,000)
P178,000

P140,000
(2,000)
P138,000

.
.

NCI in net income of subsidiary

Star Companys reported net income
Gain on upstream sale of land
Unrealized gain in upstream, inventory sales
Realized net income
NCI
NCI in net income of subsidiary

P65,000
(5,000)
(10,000)
P50,000
20%
P10,000

P50,000

.
.
.
.

.
P50,000
20%
P10,000

.
.

122

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