숿 Find study resources Business / Accounting / Divina Company provided the following inf Question 숤 Answered step-by-step Divina Company provided the following information for the current year: Income from continuing operations P4,000,000 Income from discontinued operations 500,000 Unrealized gain on financial asset-FVPL 800,000 Unrealized loss on equity investment - FVOCI 1,000,000 Unrealized gain on debt investment - FVOCI 1,200,000 Unrealized gain on futures contract designated as a cash flow hedge 400,000 Translation loss on foreign operation 200,000 Net "remeasurement" gain on defined benefit plan 600,000 Loss on credit risk of a financial liability at FVPL 300,000 Revaluation surplus during the year 2,500,000 What amount should be reported as OCI for the current year? a. 4,000,000 c. 3,200,000 b. 3,500,000 d. 700,000 WHAT NET SHOULD BE REPORTED AS OIC? WHAT AMPUNT SHOULD BE REPORTED AS COMPREHENSIVE INCOME? Business 섈 쉋 Accounting Answer & Explanation Solved by verified expert 숨 Rated 싙 Helpful Net Income= P 4,500,000 Net Amount of Other Comprehensive Income= P 3,200,000 Comprehensive Income= P 7,700,000 Step-by-step explanation Net Income Net Income composes both income from continuing and discontinued operations . Therefore, 4,000,000 plus 500,000, giving a total of 4,500,000 net income. As unrealized gain on financial asset-FVPL is concern, it is a component of P/L and is part of income from continuing operations. Therefore, the value of unrealized gain on financial asset-FVPL which is 800,000 is not needed to be added separately to compute the net income as this component is already included as part of income from continuing operations. Other Comprehensive Income (OCI) The following are components of other comprehensive income: Unrealized loss on equity investment - FVOCI (1,000,000) Unrealized gain on debt investment - FVOCI 1,200,000 Unrealized gain on futures contract designated as a cash flow hedge Translation loss on foreign operation 400,000 (200,000) Net remeasurement gain on defined benefit plan 600,000 Loss on credit risk of a financial liability at FVPL (300,000) Revaluation surplus during the year Net Amount of Other Comprehensive Income Comprehensive Income 2,500,000 3,200,000 Total Comprehensive Income composes both Net Income and the Net amount of other comprehensive income: 숿 Find study resources Net Income 4,500,000 Other Comprehensive Income 3,200,000 Comprehensive Income 7,700,000 Student reviews 싙 100% (6 ratings) "Thank you so much." Is this answer helpful? Helpful 싙 Unhelpful 싗 Report this answer Add to library Related Answered Questions 숵 Q: A) Park Company provided the following information for the current year: 숵 Q: 1. Increase in raw materials inventory The ledger of INFIRM SICK Co. as of December 31, 20x1 includes the following: 10% Note payable 80,000 12% Note p 숵 Q: In which of the following instances would a liability that would otherwise be presented as current is presented as nonc 숵 Q: MODULE 5 Post-test PREPARING THE FINANCIAL STATEMENTS COMPREHENSIVE INCOME 1. Smile Co., an investment entity, provided 숵 Q: You are a financial adviser, and the fund manager of Cuba Capital is visiting your office today. They would like to disc See more 쇵 Related Textbook Solutions Solutions © Accounting Reeve/Warren See all
