A branch store in Calatagan was established by Carlo Company on March 1. Merchandise was billed to the branch at 125% of cost. Shipments of merchandise were as follows: On March 22, the branch returned defective merchandise worth P3,050. On March 31, the branch reported a net loss of (P6,200) and merchandise inventory of P85,000. In the home o ce books, what is the cost of merchandise sold by branch? 93,560 P116,950 161,950 P161,560