Consolidated retained earnings – Dec.

31, 20x1 687,680 (a) Net change in S1’s net assets (Step 2) of ₱88,000 x 80% = ₱70,400
ep 2) of ₱88,000 x 80% = ₱70,400. (b) Net change in S2’s net assets (Step 2) of ₱72,000 x 48% = ₱34,560. Step 6: Consolidated profit or lo
0. Step 6: Consolidated profit or loss Cons. adjustments: Unrealized profits - - - - Dividend income - N/A N/A - Extinguishment of bonds - - -
N/A - Extinguishment of bonds - - - - Net cons. adjustments - - - - Profits before FVA 320,000 88,000 72,000 480,000 Depreciation of FVA (
00 480,000 Depreciation of FVA ( - ) ( - ) ( - ) ( - ) Goodwill impairment (17,280) (2,400) (8,320) (28,000) Consolidated profit 302,720 85,60
Consolidated profit 302,720 85,600 63,680 452,000 Step 7: Profit or loss attributable to owners of parent and NCIs Share in S1’s profit bef
t and NCIs Share in S1’s profit before FVA (c) 70,400 17,600 88,000 Share in S2’s profit before FVA (d) 34,560 37,440 72,000 Depreciation
4,560 37,440 72,000 Depreciation of FVA ( - ) ( - ) ( - ) ( - ) Goodwill impairment (17,280) (2,400) (8,320) (28,000) Totals 407,680 15,200 29
28,000) Totals 407,680 15,200 29,120 452,000 (c) Shares in S1’s profit before FVA (Step 6): (₱88,000 x 80%); (₱88,000 x 20%) (d) Shares in
0%); (₱88,000 x 20%) (d) Shares in S2’s profit before FVA (Step 6): (₱72,000 x 48%);