Gamma, Corp. has a branch in Davao City established on May 31, 2015. During 2015, the home office shipped merchandise to the branch at billed value of P125, 000 which was 25% above cost. At the end of the year, the branch reported sales of P200, 000, operating expenses of P95, 000, and a net income from its own operations of P15, 000. as far as the home office is concerned, the true net income of the branch was

P15, 000

P18, 000

P25, 000

P33, 000