4-1 (IAA) Dreamer Company reported the "Receivables" account with debit balance of P2,000,000 at year-end. The allowance for doubtful accounts had a credit balance of P50,000 on same date. Subsidiary details revealed the following: Trade accounts receivable Trade notes receivable Customers' accounts reporting credit 775,000 100,000 Installments receivable, normally due 1 year to two years 300,000 balances arising from sales return Advance payments for purchase of merchandise Customers' accounts reporting credit balances arising from advance payments Cash advance to subsidiary Claim from insurance entity Subscriptions receivable due in 60 days Accrued interest receivable ) (30,000) 150,000 20,000) 400,000 15,000 300,000 10,000 2,000,000 Required: a. Prepare one compound entry to reclassify the receivables account. b. Compute the amount to be presented as "trade and other receivables" under current assets. c. Indicate the classification and presentation of the other items excluded from "trade and other receivables