MD Corp. completed the following transactions relating to investment in AO Company ordinary sha which were acquired for trading purposes. 2018 (1) Purchased 1,000 shares at P150 per share, plus transaction costs of P3,750 (2) At year-end, the AO Company ordinary shares had a fair value of P180 per share. 2019 (1) Sold 500 of AO Company ordinary shares at P190 per share, incurring P1,000 transaction costs sale. (2) At year-end, the fair value of each share was P192.
MD Corp. completed the following transactions relating to investment in AO Company ordinary sha which were acquired for trading purposes. 2018 (1) Purchased 1,000 shares at P150 per share, plus transaction costs of P3,750 (2) At year-end, the AO Company ordinary shares had a fair value of P180 per share. 2019 (1) Sold 500 of AO Company ordinary shares at P190 per share, incurring P1,000 transaction costs sale. (2) At year-end, the fair value of each share was P192.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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How much should be reported in the 2019 Profit or Loss?
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