Use the following information for the next three items:On January 2, 2019, the Statement of Financial Position of Pepper and Steak Company prior to the combination are:Pepper Co.Steak Co.CashInventoriesPPE, netTotal AssetsCurrent LiabilitiesCommon stock, P100 parAdditional Paid in capitalRetained earningsTotal Liabilities and Stockholders' equityThe fair value of Steak Company's equipment is P153,000.Assume the following independent cases:P450,000300,000750,000P1,500,000A. P1,410,000B. P1,419,600P 90,000150,000450,000810,000P1,500,00018. Assuming Pepper Company acquired 70% of the outstanding common stock of Steak Company for P105,000 andNon-controlling interest is measured at fair value of P61,000, how much is the goodwill (gain on acquisition)?C. P23,100A. P(17,000)D. P(23,100)B. P17,000or19. Assuming Pepper Company acquired 80% of the outstanding common stock of Steak Company for P136,800 andnon-controlling interest is measured at non-controlling interest's proportionate share of Steak Company'sidentifiable net assets, how much is the consolidated stockholders' equity on the date of acquisition?C. P1,446,600D. P1,456,200P 15,00030,000105,000P150,000P15,00015,00030,00090,000P150,00020. Assuming Pepper Company acquired 90% of the outstanding common stock of Steak Company for P243,000 andNon-controlling interest is measured at fair value, how much is the total consolidated assets on the date ofacquisition?A. P1,542,000B. P1,785,000C. P1,737,000D. P1,494,000ACQUISITION

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18. Assuming Pepper Company acquired 70% of the outstanding common stock of Steak Company for P105,000 and Non-controlling interest is measured at fair value of P61,000, how much is the goodwill (gain on acquisition)? A. P(17,000) B. P17,000 C. P23,100 D. P(23,100) 126 800 and

18. Assuming Pepper Company acquired 70% of the outstanding common stock of Steak Company for P105,000 and Non-controlling interest is measured at fair value of P61,000, how much is the goodwill (gain on acquisition)? A. P(17,000) B. P17,000 C. P23,100 D. P(23,100) 126 800 and

Cornerstones of Financial Accounting

4th Edition

ISBN:9781337690881

Author:Jay Rich, Jeff Jones

Publisher:Jay Rich, Jeff Jones

ChapterA2: Investments

Section: Chapter Questions

Problem 25E

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