On January 1, 2019, Philcorp acquired 8,000 of the outstanding 10,000 shares of Anderco by issuing its own shares with a market value of $400,000.
On June 30, 2020, Philcorp sold 3,500 shares for cash consideration of $60 per share on open market.
Immediately before the sale, the shareholders' equity of Anderco amounted to $500,000 and the unamortized purchase discrepancy was $65,000. Philcorp uses the equity method to record its investment in Anderco.
Required:
Prepare the journal entry(ies) Philcorp would make to record the gain or loss resulting from the disposition of the shares?

Question

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The Answer of On January 1, 2019, Philcorp acquired 8,000 of the outstanding 10,000 shares of Anderco by issuing its own shares with a market value of $400,000.
On June 30, 2020, Philcorp sold 3,500 shares for cash consideration of $60 per share on open market.
Immediately before the sale, the shareholders' equity of Anderco amounted to $500,000 and the unamortized purchase discrepancy was $65,000. Philcorp uses the equity method to record its investment in Anderco.
Required:
Prepare the journal entry(ies) Philcorp would make to record the gain or loss resulting from the disposition of the shares?

On January 1, 2019, Philcorp Acquired 8,000 of the Outstanding