Statement of Financial Position

Basic Problems

Problem 1-1 (IFRS)

Darwin Company provided the following information at year-end:

Cash 300,000
Accounts Receivable 1,200,000
Inventory, including inventory expected in the ordinary
course of operations to be sold beyond 12 months
amounting to P700,000 1,000,000
Prepaid expenses 100,000
Financial asset held for trading 200,000
Equity investment at fair value through other
comprehensive income 800,000
Deferred tax asset 150,000

What amount should be reported as total current assets at year-end?

Problem 1-2 (AICPA Adapted)

Violago Company provided the following account balances at year-end:

Cash 1,100,000
Accounts receivable 1,600,000
Inventory 3,000,000
Financial assets at fair value through profit or loss 500,000
Bonds investment at amortized cost 1,300,000
Investment in associate 1,500,000
Equipment and furniture 2,500,000
Accumulated depreciation 1,500,000
Patent 400,000
Deferred charges 100,000
Equipment classified as held for sale 2,000,000

What total amount should be reported as current assets at year-end?