coer ‘On Janory 12020, the ent aeguirod further 1596interetining cximea a St arc Ca Sa Scie cecurleaac edi en eon eres a ee aa{00 fr 22 an pi a bce 1. What amount of gan on remeasurement 0 equity should be cognized or 20207 1,500,000 », 400,000 ©. 2250,000 4 0 2. Whatistbe implied goodwill arising fom the scquston? ‘2,250,000, 1,250,000 © 1/350,000 4 350,000 43. Whats the canying amount of the investment in asociateon December 31, 20207 11,250,000 be. 11/800,000 ©. 12,000,000 4. 14,300,000 4a Solution 38.2 Question | Anowera Fale valu of 10% ine Carrying amount of ce, Guin on remeairemeto ety te Invests chen ste, Ganda edt he xsi ret remeni vl ithe change ni val clued Question? Answer oS sumed peeee sees Coates ae Be a ancideies BRR ae ee Be iiss a ‘sas “Thefairvalu ofthe exising interests th cost ofthe new interest, ‘uals the total eos of he avesment on teint application of he ‘equity method on January 1.2020. Question 3 Answer ‘Total cost of ivesment~ January 12020 12sap00 Investment income ‘ao0000 Shareincashdviend _ 25%x5,000.000) c2s0010) CCamying amount ~ December 31,2020 goa Sharinnetincome 25% x,00000) ‘0000 ‘Amorizatin of excess (100, 000/5) oso Investment income 7) scoot ‘Theexcessofcostovercaryingamount efuibeubleto goodwillisnot amortized. “3