REY Co.

Cost Market Gain/Loss

BOB 40,000 44,000 4,000
ROD 60,000 54,000 - 6,000
TOM 55,000 50,000 - 5,000
Loss on Trading Securities - 7,000

2/1/2017 Investment in associate 1,700,000

Cash 1,700,000

01/18/2017 Cash 22,500

FAFV-OCI 22,500
RE 2,500
URL-FAFV-OCI 2,500

02/14/2017 Received 200 shares representing 10% stock dividend on 2000 original shares held. Shares now

5/4/2017 Cash 1,200

Dividend income 1,200

1/6/2017 Cash 15,000

FAFV-OCI 11,364
Loss on sale 3,636
RE 1,136
URL-FAFV-OCI 1,136

06/30/2017 Cash 3,500

Dividend income 3,500

1/10/2017 Cash 17,500

Loss on sale 2,500
Trading securities 20,000

5/10/2017 Cash 1,200

Dividend income 1,200

Answer 1. 0
2. P2,500 gain on sale
3. P2,500 loss on sale
4. No dividend income recognized.
5. P5,900 total dividend income
nal shares held. Shares now held, 2,200 shares.