2. The following are the changes in the accounts of BT21 Co. during the period: · Accounts receivable- P240,000 increase · Prepaid assets- P600,000 increase · Inventory- P1,500,000 decrease · Notes payable- P800,000 decrease Additional information: During the year, BT21 Co. obtained a bank loan of P2,000,000 and paid interest of P100,000. Interest of P80,000 is accrued on December 31, 2021. Interest payable at the end of 2020 amounted to P120,000. In 2021, a shareholder donated an equipment with historical cost of P1,000,000 and carrying amount of P800,000 to BT21 Co. The fair value of the equipment is P600,000. BT21 declared dividends in 2021 of P160,000. How much is the profit (loss) for the year?
2. The following are the changes in the accounts of BT21 Co. during the period:
· Accounts receivable- P240,000 increase
· Prepaid assets- P600,000 increase
· Inventory- P1,500,000 decrease
· Notes payable- P800,000 decrease
Additional information:
During the year, BT21 Co. obtained a bank loan of P2,000,000 and paid interest of P100,000. Interest of P80,000 is accrued on December 31, 2021. Interest payable at the end of 2020 amounted to P120,000. In 2021, a shareholder donated an equipment with historical cost of P1,000,000 and carrying amount of P800,000 to BT21 Co. The fair value of the equipment is P600,000. BT21 declared dividends in 2021 of P160,000.
How much is the
Trending now
This is a popular solution!
Step by step
Solved in 2 steps
