Professional Documents
Culture Documents
and
Group 4
3FM2
Ayala Corporation and JG Summit Holdings, Inc. both used the multiple –
step format on their statement of financial performance. The account titles are
almost the same since they are both in the holding company that has a portfolio of
diverse business interests including investments in retail, real estate, banking,
telecommunications, electronics, information technology, water infrastructure and
management and business process outsourcing. Also, the preparations of the
Income statement have been prepared in compliance with Philippine Financial
Reporting Standards (PFRS) and Philippine Interpretations of International
Financial Reporting Interpretation Committee (IFRIC). The consolidated income
statements were both presented in Philippine peso, the functional currencies of
the parent company, but the values of Ayala are rounded to the nearest thousand
peso (P000).
Taking into consideration the figures above which reflect the financial
performance of the two holding firms, it can be inferred that in terms of Net
Income, the JG Summit Holdings, Inc. outwit Ayala Corporation in the year 2009.
In 2008 and 2009, JG Summit Holdings, Inc. reported a loss of 2,930,519,010 and
21,627,447 respectively from foreign exchange. These losses especially in the year 2008
were very material or significant for it is one of the reasons for the net loss of the
company in the year 2008.
Ayala Corporation
Unfortunately, the company didn’t report any irregular item in their income
statement.