vOn January 1, 2030, Irene Inc. purchase 87,500 shares representing 35% ownership interest in Zoe company’s 250,000 ordinary shares for P161,500. Irene accounts for the investment under equity method. On December 31, 2030, Zoe Company has a net income of P120,000 and paid dividends amounting to P10,000 to its shareholders. On April 1, 2031, Zoe Corporation reacquired its own 125,000 shares so that Irene Inc. control over Zoe Company. The following data were available on the date of acquisition: • The fair value of net identifiable assets of Zoe is P800,000. • Irene uses the NCI proportionate share of acquiree’s net identifiable assets to measure its NCI. 1. How much is the investment in associate, end before combination? 2. How much is the goodwill that arise from combination?