Illustrative problem: Total comprehensive income

The records of ABC Co. On December 31, 20x1 showed the following information:

Sales 1,000,000
Sales discounts 10,000
Cost of sales 400,000
Distribution costs 48,000
Administrative cost 120,000
Casualty loss on typhoon 20,000
Dividends received from investment in FVPL 12,000
Dividends received from investment in associate 24,000
Share in the profit of an associate 36,000
Dividends declared and paid 14,000
Interest expense 22,000
Unrealized gain on investments in FVPL 15,000
Unrealized gain on investments in equity instruments- FVOCI 19,000
Income tax expense 150,000
Loss on revaluation 13,000
Remeasurements of the net defined benefit liability(asset)- Gain 11,000
Correction of understatement in depreciation in prior year 16,000
Translation adjustment of foreign operation- loss 4,000

Requirements: Compute for profit for the year, other comprehensive income, and total
comprehensive income .

Solution:

Illustrative problem: Shareholders’ Equity

The ledger of ABC Co. In 20x1 includes the following:

Share capital 100,000

Share premium 20,000
Retained earnings, appropriated 18,000
Retained earnings, unappropriated 42,000
Revaluation surplus 30,000
Remeasurement of the net defined benefit liability(asset)- gain 15,000
Cumulative net unrealized gain on fair value
changes of investment in FVOCI 23,000
Effective portion of losses on hedging instruments in a cash flow hedge 10,000
Cumulative translation loss on foreign operation 5,000
Treasury shares, at cost 13,000

Requirement: Compute for the total shareholders’ equity

Solution: