Hi! I need help answering the following questions. Thank you! :)
Questions 30 and 31 are based on the following: The following are the account balances appearing on the books of accounts of Eduardo Company as of December 31, 2015: Home office Branch Cash P 9,500 P 9,600 Accounts receivable, net 38,600 14,40D Inventory 24,600 12,700 Prepaid expenses 2,500 900 Property and equipment 35,800 29,400 Branch current 63,000 Cost of sales 160,000 95,000 Operating expense 29,600 15,400 Accounts payable ( 15,900] ( 10,300] Home office current ( 39, 400) Capital stock ( 50,000] Retained earnings ( 17,700] Sales 1280.000) (127.700) Shipments to branch were billed at 120% and 125% of cost in 2014 and 2015, respectively, and were credited to sales. An analysis of the inventories of the branch shows the following breakdown: January 1 December 31 From home office (billed value) P12, OOD PS, 000 (based on shipments received) From other suppliers 3, 000 4, 700 During the year, branch purchases from other suppliers amounted to P27, 700. Home office books show shipments to branch (at cost) of P64, 000. Some shipments were still in transit as of December 31". A branch remittance of PB, 600 was made on December 28, 2015 and has not yet been received by the home office as December 31" 30. How much is the adjusted balance of Branch current account as of December 31, 2015? 31. The combined net income of home office and branch:Items 26 through 27 are based on the following information: The following information came from the books and records of STAR Corporation and its branch. The balances as of December 31, 2015, the third year of the corporation's existence are: Home Office Branch Dr. (Cr.) Dr. (Cr.) Sales P(1,500,00D) Expenses 500,000 Shipments from home office 840,000 Unrealized profit in branch P(160, ODD) The branch purchases all of its merchandise from the home office. The inventories of the branch at billed prices are as follows: January 1, 2015.. P120,000 December 31, 2015. 168,000 26. There are no shipments in transit between the home office and the branch. The percentage of billed price on cost that the home office uses to ship merchandise to the branch is: 27. In relation to the above data, the true net profit of the branch is