1. The unadjusted balance at the end of the month of the Branch Current is P567,980. The following information is provided below:

A. The home office inadvertently faxed a note to the branch informing the branch of a collection of one of the home office's customers amounting to P23,000. This amount was ignored by the branch's accountant.

B. The branch returned merchandise to the home office worth P 256,000. This was not the item ordered by the branch. The accountant of the home office was not able to update the records pertaining to this transaction.

C. Merchandise worth P66,340 is still in transit to the branch.

D. The branch accountant recorded a merchandise worth P245,000 as P254,000.

E. The home office collected an account receivable of the branch amounting to P35,670. The home office accountant repeatedly sent a note to the branch regarding this collection. The branch, in error, recorded the amount twice in its books.

F. The branch accountant became aware of the transposition error he committed when he recorded the receipt of the merchandise and made the correcting entry accordingly.

G. The branch's net income was not recorded by the home office. The branch reported a net income of P366,920.

Compute for the unadjusted balance of the Home Office Current account.

2.Pampanga Company bills its Tarlac Branch for merchandise at 140% of cost. At the end of December 31, 2020, the branch reported the following information:

Inventory, January 1 P 168,000

Shipments received 1,820,000

Inventory, December 31 294,000

What should be the balance for overvaluation of the branch inventory on December 31, 2020?

3.On January 1, 2020, Zebb and Nottle Companies had condensed balance sheets as shown below:

On January 1, 2020, Zebb and Nottle Companies had condensed balance sheets as shown below: Zebb Nottle Company Company Current Assets P1,000,000 P 600,000 Plant and Equipment 1,500,000 800,000 P2,500,000 P1,400,000 Current Liabilities P 200,000 P 100,000 Long-Term Debt 300,000 300,000 Ordinary Shares, P10 par 1,400,000 Share premium 400,000 Accumulated profit 0 100,000 600,000 500,000 P2,500,000 P1,400,000 Assume that Zebb issued 30,000 shares of new common stock with a fair value of P25 per share and paid P500,000 cash for all of the net assets of Nottle. Acquisition costs of P50,000 and stock issuance costs of P20,000 were paid in cash. Current assets had a fair value of P650,000, plant and equipment had a fair value of P900,000, and long-term debt had a fair value of P330,000