In an effort to increase sales, DDD Company inaugurated a sales promotional campaign on June 30, 2020. The entity placed a coupon redeemable for a premium in each package of cereal sold. Each premium cost P20 and five coupons must be presented by a customer to receive a premium. The entity estimated that only 60% of the coupons issued will be redeemed.

For the six months ended December 31, 2020, the following information is available: Packages of cereal sold - 160,000 Premiums purchased - 12,000 Coupons redeemed - 40,000

Prepare the necessary journal entries for this transaction (i.e. recognition of the premium expense and its ultimate redemption.)