Consignment Sales

1. Concorde International sent 15 units of computer to Hoya Appliance Center. Unit cost is P25,000 and unit selling Price P40,000. Concorde paid shipping costs of P3,750. Hoya Appliance Corp. paid reimbursable advertising costs of P5,000 and delivery charge of P500 per unit. Commission of 20% of sales was given to Hoya Appliance Corp. Hoya Appliance sold 8 computers and return 2 defective units.

a. How much is the profit on consignment?

b. Cost of Inventory end?

c. Total amount to be remitted to consignor?

d. How much is the consignment sales revenue?

PLEASE EXPLAIN WITH SOLUTION AND JOURNAL ENTRY