1. MBT sells merchandise at a gross profit of 25% based on cost. The companys cost ratio based on sales should be:

A. 100% B. 80% C. 75% D. 20%

2. AJI Co. on adoption of M4 has reclassified certain assets as biological assets. The total value of the forest assets is P6,000,000 which is comprised of: Freestanding trees P5,100,000 Land under trees P600,000 Roads in forests P300,000 In AJI Co.s statement of financial position, how much of the forests would be classified as biological assets?

A. P5,100,000 B. P5,400,000 C. P5,700,000 D. P6,000,000

3. The accounting records of LO Co. showed these data for 2020: Inventory, January 1 P500,000 Purchases P2,500,000 Sales P3,200,000. A physical inventory taken on December 31, 2020 resulted in an ending inventory of P500,000. Gross profit on sales has remained constant at 25% in recent years. The company suspects some inventory may have been taken by a new employee. What is the estimated cost of missing inventory?

A. 0 B. P100,000 C. P440,000 D. P600,000

MBT sells merchandise at a gross profit of 25% based on cost. The company's cost ratio based on sales should be: A. 100% B. 80% C. 75% D. 20% AJI Co. on adoption of M4 has reclassified certain assets as biological assets. The total value of the forest assets is P6,000,000 which is comprised of. Freestanding trees P5,100,000 Land under trees P600,000 Roads in forests P300,000 In AJI Co.'s statement of financial position, how much of the forests would be classified as biological assets? A. P5,100,000 B. P5,400,000 C. P5,700,000 D. P6,000,000 The accounting records of LO Co. showed these data for 2020: Inventory, January 1 P500,000 Purchases P2,500,000 Sales P3,200,000. A physical inventory taken on December 31, 2020 resulted in an ending inventory of P500,000. Gross profit on sales has remained constant at 25% in recent years. The company suspects some inventory may have been taken by a new employee What is the estimated cost of missing inventory? A 0 B. P100,000 C. P440,000 D P600.000