Professional Documents
Culture Documents
Book Value Market Value Pole Co. Sole Co. Sole Co
Book Value Market Value Pole Co. Sole Co. Sole Co
Book Value Market Value Pole Co. Sole Co. Sole Co
Sole Company for P950,000 payable in cash. On that date, the assets and liabilities of
Sole Company had fair market value as shown below:
Requirements:
2.) Assuming that only 90% of the outstanding shares of Sole Company was acquired by
Pole Company for P810,000 payable in cash and all other information remain the same:
nci 91,000
a. Prepare an allocation schedule to compute goodwill (gain on bargain
purchase) assuming the non-controlling interest is measured proportionate to
the identifiable net assets
b. Prepare the eliminatory entry
c. Prepare the consolidated working paper
3.) Assuming that only 40% of the outstanding shares of Sole Co. was acquired by Pole
Co. for P400,000 payable in cash and all other information remain the same. Pole
Company, though, holds a substantive option to acquire the majority shares that is
exercisable and deeply in the money nci 546,000
2.) Assuming that only 90% of the outstanding shares of Sole Company was acquired by
Pole Company for P810,000 payable in cash and all other information remain the same:
3.) Assuming that only 40% of the outstanding shares of Sole Co. was acquired by Pole
Co. for P400,000 payable in cash and all other information remain the same. Pole
Company, though, holds a substantive option to acquire the majority shares that is
exercisable and deeply in the money