Professional Documents
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Comprehensive Income and Equity
Comprehensive Income and Equity
= Revenues
The following are items in other comprehensive income that will be reclassified subsequently to
profit or loss, except = Change in revaluation surplus
To compute for cost of goods sold a decrease in finished goods is = Added to cost of goods
manufactured
It is the change in equity during a period resulting from transactions and other events, other than
changes resulting from transactions with owners in their capacity as owners. = Comprehensive
Income
The following important data affecting the retained earnings should be clearly disclosed in the
statement of retained earnings, except = Effect of change in accounting estimate
The unrealized gain or loss upon disposal of an equity investment measured at fair value through
other comprehensive income is reclassified to = Retained earnings
The unrealized gain or loss upon disposal of an debt investment measured at fair value through
other comprehensive income is reclassified to = Profit or loss
To compute for cost of goods sold a decrease in finished goods is = Added to cost of goods
manufactured
The components of "other comprehensive income" include the following, except = Loss on sale
of equipment
Tanzania Company reported operating expenses other than interest expense for the year at 40%
of cost of goods sold but only 20% of sales. Interest expense is 5% of sales.
The amount of purchases is 120% of cost of goods sold. Ending inventory is twice as much as
the beginning inventory.
The net income for the year is P2,100,000. The income tax rate is 30%.
Mercury Company showed cost of goods sold of P4,320,000 after the first year of operations.
The total manufacturing cost comprised the following:
Goods in process at year-end amounted to 10% of the total manufacturing cost. Finished goods at
year-end amounted to 20% of the cost of goods manufactured.