PROBLEM 1

Acquisition cost 648,000.00

Recognized amt of NCI 162,000.00 (648000 / 80% x 20%)
Total 810,000.00
FMV of Net Assets 780,000.00
Goodwill/(Gain) 30,000.00

NCI - NIS
NI 105,000.00
-Amortization on eqpt 12,000.00
-Impairment loss 24,000.00
Net 69,000.00
NCI share x 20%
NCI in profit of Signage 13,800.00 (B)

Consolidated NI
Amortization 12,000.00 P - NI 285,000.00
Impairment lo 24,000.00 S - NI 105,000.00
CNI - entity 354,000.00
NCI - NIS 13,800.00
CNI - Parent 340,200.00 (A)

Consolidated R/E
R/E - Parent (beg) 1,560,000.00
+ CNI - Parent 340,200.00
- Dividend - Parent 138,000.00
Consolidated R/E 1,762,200.00 (C)

NCI - NAS
Amortization 12,000.00 SHE - S 660,000.00
Impairment lo 24,000.00 Allocation - eqpt 120,000.00
Dividend - S 45,000.00 Goodwill 30,000.00
NI - S 105,000.00
Total 834,000.00
NCI share x 20%
NCI -NAS 166,800.00 (C)

PROBLEM 2
Acquisition cost 4,750,000.00
Recognized amt of NCI 1,196,000.00 est. FMV vs (4750000 / 80% x 20% = 1187500)
Total 5,946,000.00
FMV of Net Assets 5,980,000.00
Goodwill/(Gain) (34,000.00)

2013
Consolidated NI N
Amortization 76,000.00 P - NI 1,100,000.00 NI -S (2012)
Dividend fro 104,000.00 S - NI 510,000.00 -Dividend - S (2012)
CNI - entity 1,430,000.00 (C) #3 Undistributed earnings
NCI - NIS 86,800.00 -Amortization on eqpt
CNI - Parent 1,343,200.00 -Impairment loss
Net
NCI share
NCI in profit of S
Parent share in profit of S

Consolidated R/E N
R/E - Parent (beg) 4,319,200.00 Amortization - eqpt
+ CNI - Parent 1,343,200.00 Impairment loss
- Dividend - Parent 390,000.00 Dividend - S
Consolidated R/E 5,272,400.00 (A) #1

2012
Consolidated NI N
Amortization 76,000.00 P - NI 900,000.00 Amortization - eqpt
Impairment lo - S - NI 340,000.00 Impairment loss
Share in Divi 56,000.00 Amortization (+) - Dividend - S
Gain on Acq 34,000.00
CNI - entity 1,142,000.00
NCI - NIS 52,800.00
CNI - Parent 1,089,200.00
 Consolidated R/E
R/E - Parent (beg) 3,450,000.00
+ CNI - Parent 1,089,200.00
- Dividend - Parent 220,000.00
Consolidated R/E 4,319,200.00

ENTRIES:

Parent books: 2012 2013

1) Inv in Sub 4,750,000.00

Cash 4,750,000.00

2) Cash 56,000.00 104,000.00

Dividend Income 56,000.00

Working paper:

1) OS - S 4,000,000.00 *** 4,000,000.00

R/E - S 1,600,000.00 1,600,000.00
Inv in Sub 4,480,000.00
NCI - NAS 1,120,000.00

2) Eqpt 380,000.00 *** 380,000.00

Inv in Sub 304,000.00
NCI - NAS 76,000.00

3) Inv in Sub 34,000.00

Gain on Acq 34,000.00
(4480000 + 304000 - 4750000)

4) Dividend Income 56,000.00 104,000.00

NCI - NAS 14,000.00 26,000.00
Dividend - S 70,000.00
For dividend elimination

5) Depreciation Expense 76,000.00 76,000.00

R/E, beg - 76,000.00
Eqpt 76,000.00

6) NCI - NIS 52,800.00 86,800.00

NCI - NAS 52,800.00
 38,800.00

***Will be checking the entries later, I can't be su

PROBLEM 3

Acquisition cost 586,250.00

Recognized amt of NCI 117,500.00
Total 703,750.00
FMV of Net Assets 561,500.00
Goodwill/(Gain) 142,250.00

Parent - 80% Subsidiary - 20%

Acquisition cost 586,250.00 117,500.00
FMV of net assets 449,200.00 112,300.00
Goodwill/(Gain) 137,050.00 5,200.00

R/E - Subsidiary N
R/E - Sub (beg) 195,000.00 Amortization - eqpt
+ NI 42,500.00 Impairment loss*
- Dividend 15,000.00 Dividend - S
R/E - Sub (end) 222,500.00 Allocation (+)

Consolidated SHE: Order of Computation for Consolidated SHE:

CS - P 750,000.00 1) NCI-NIS
APIC 175,000.00 2) CNI
R/E 595,345.00 3) CRE
NCI - NAS 124,242.50 4) NCI - NAS (pwedeng independent computati
Consolidated Equity 1,644,587.50 (D)
NCI - NIS
NI -S
+ Amortization (+)
- Amortization (-)
 Total
NCI share

- Impairment loss
NCI - NIS

CNI
Share in Dividen 12,000.00
Amortization (-) 2,187.50
Impairment loss 14,225.00

R/E - Parent
R/E - beg
+ CNI
- Dividend
R/E - end

PROBLEM 4

Acquisition cost 2,520,000.00

Recognized amt of NCI 630,000.00
Total 3,150,000.00
FMV of Net Assets 2,925,000.00
Goodwill/(Gain) 225,000.00

Parent - 80% Subsidiary - 20%

Acquisition cost 2,520,000.00 630,000.00
FMV of net assets 2,340,000.00 585,000.00
Goodwill/(Gain) 180,000.00 45,000.00

NCI - NIS N
NI -S 600,000.00 Amortization - eqpt (-)
+ Amortization (+) - Impairment loss*
- Amortization (-) 75,000.00
- Impairment loss 60,000.00 Allocation (+)
+ RGP, beg (US) 37,500.00 UP - EI (US)
- RGP, end (US) -
Total 502,500.00
NCI share x 20%
NCI - NIS 100,500.00 (B)

9/30/2012 Share in Dividend

Merchandise (150000 x 25%) 37,500.00 Amortization (-)
Impairment loss
10/1/2013 UR - EI
Ending Inventory (3600000 900,000.00
UR - EI (900000 x 20/120) 150,000.00

PROBLEM 5

NCI - NIS
NI -S 1,822,000.00
+ Amortization (+) BI 60,000.00
- Amortization (-) EI 40,000.00 UP - EI
+ Amortization (+) Copier 18,000.00
- Amortization (-) Copier 3,000.00 RL - Copier

Total 1,857,000.00
NCI share x 10%
NCI - NIS 185,700.00

Consolidated Gross Profit --> Parent + Subsidiary - Intercompany sale

Consolidated Sale =25,000,000 + 14,000,000 - 4,000,000

35,000,000.00
Consolidated Cost of Sale Parent + Subsidiary - Intercompany sale- Realized Profit on Begin
= 15,000,000 + 8,400,000 - 4,000,000 - 60,000 - 20,000 + 40,000 + 8,0
19,368,000.00
Consolidated Expenses Parent + Subsidiary - Realized Profit on Depreciation + Realized L
= 6,000,000 + 3,800,000 + 3,000
9,803,000.00

Consolidated Gross Profit -----> Conso. Sale 35,000,000.00

Conso. Cost of Sale 19,368,000.00
Conso Gross Profit 15,632,000.00
PROBLEM 6

NCI - NIS
NL -S (20,000.00)
+ Amortization (+) 7,500.00
- Amortization (-) 1,500.00 DS - Gain on Eqpt
US - Furniture dep'
Total (14,000.00)
NCI share x 20%
NCI - NIS (2,800.00)

PROBLEM 7 **TO FOLLOW YUNG SOLUTION - LETTER C ANG SAGOT…

 % x 20% = 1187500)

NCI - NIS 2012

340,000.00 NI - S 340,000.00
nd - S (2012) 70,000.00 +Amortization (+) -
buted earnings 270,000.00 -Amortization (-) 76,000.00
zation on eqpt 76,000.00 -Impairment loss -
- Net 264,000.00
194,000.00 x 20%
x 20% NCI - NIS 52,800.00
38,800.00
hare in profit of S 155,200.00 (B) #2

NCI - NAS
76,000.00 SHE - S 5,794,000.00
- Allocation - eqp 380,000.00
130,000.00 Goodwill -
NI - S 510,000.00
Total 6,478,000.00
NCI share x 20%
NCI -NAS 1,295,600.00 (A) #4
(Alternate, using entries --> 1196000 - 26000 + 86800 + 38800)

NCI - NAS
76,000.00 SHE - S 5,600,000.00
- Allocation - eqp 380,000.00
70,000.00 Goodwill -
NI - S 340,000.00
Total 6,174,000.00
NCI share x 20%
NCI -NAS 1,234,800.00 (Alternate, using entries --> 1196000 - 14000 + 52800)
2013

104,000.00

4,480,000.00
1,120,000.00

304,000.00
76,000.00

130,000.00

152,000.00

86,800.00
 38,800.00

ntries later, I can't be sure with just my notes. XD

NCI - NAS
2,187.50 SHE - S 557,500.00
- Allocation - eqp 15,000.00
15,000.00 Amortization (+ 11,000.00
11,000.00 Goodwill* -
NI - S 42,500.00
Total 597,812.50
NCI share x 20%
NCI -NAS 119,562.50
Goodwill 5,200.00
Impairment los 520.00
NCI-NAS 124,242.50 (C)

Consolidated SHE:

ndependent computation)

- NIS
42,500.00
11,000.00
2,187.50
 51,312.50
x 20%
10,262.50
520.00
9,742.50

CNI
NI - P 75,000.00
NI -S 42,500.00
Amortization (-) 11,000.00
CNI - entity 100,087.50
NCI - NIS 9,742.50
CNI - Parent 90,345.00

R/E - Parent
525,000.00
90,345.00
20,000.00
595,345.00

NCI - NAS **makita nyo lang yung computation nito.

ation - eqpt (-) SHE - S UP - unrealized profit on ending inventory
Allocation - eqpt (-) RP - realized profit on beginning inventory
Amortization (+) US - Upstream transaction
Goodwill*
RP, BI (US)
 CNI
144,000.00 NI - P 1,500,000.00
75,000.00 NI -S 600,000.00
60,000.00 UP - EI 37,500.00
150,000.00
CNI - entity 1,708,500.00
NCI - NIS 100,500.00
CNI - Parent 1,608,000.00 (C)

CNI
NI - P 4,000,000.00
NI -S 1,822,000.00
40,000.00 RP - Land 500,000.00
8,000.00 Loss - Copier 18,000.00
3,000.00 RP - BI 60,000.00
20,000.00
CNI - entity 6,369,000.00
NCI - NIS 185,700.00
CNI - Parent 6,183,300.00 (A)

ealized Profit on Beginning Inventory + Unrealized Profit on Ending Inventory

- 20,000 + 40,000 + 8,000

preciation + Realized Loss on Depreciation

(C)
 CNI
NI - P 150,000.00
NI -S (20,000.00)
25,000.00 DS - Eqpt depn 1,250.00
1,500.00 Loss - US sale 7,500.00

CNI - entity 112,250.00

NCI - NIS (2,800.00)
CNI - Parent 115,050.00 (B)
 2013
510,000.00
-
76,000.00
-
434,000.00
x 20%
86,800.00

0 - 26000 + 86800 + 38800)

0 - 14000 + 52800)