1) Lewis Company began operations on January 1. 2022. The following information is available for the year ended December 31, 2022: Total merchandise purchases, P 7,000,000 Merchandise inventory at 12/31/2022. P 1.400.000 Collections from customers. P 4,000.000 All merchandise is marked to sell at 40% above cost. Assume that all sales are credit sales and all receivables are collectible. QUESTION: The balance in accounts receivable at December 31, 2022 should be: les reButton erences) orations 365 e Drive Notebook soft Tearns O P3.840,000 O P2.440.00 O P1,600,000 O P3.000.000

2) David Company uses the retail inventory method to estimate its inventory for interim statement purposes. Data relating to the computation of the inventory at December 31. 2022, are as follows: Cost Retail Inventory, January 1 Purchases Mark-up Sales Estimated normal shoplifting losses Markdown 180.000 1.020.000 250.000 1.575.000 175.000 1,705.000 20.000 125.000 QUESTION: Under the average cost retail method, David's estimated inventory at December 31, 2022 is ok ms O P96.000 O P102.000 O P90.000 O P150.000