Lotte Inc. is engaged in the business of selling laptops at installment price. It is the policy of Lotte Inc. to recognize gross profit on its installment sales using installment method (Round DGP rate 2 decimal places, ex. 12345 = 12.35%). The company manufactures 10 laptops with the following production costs: Direct materials P75,000 Direct labor 15,000 Factory overhead 60,000 On January 1, 2020, Lotte Inc. sold to different students all the laptops at an installment price of P37,500 each payable as follows: P15,000 down payment on January 1, 2020. The balance payable in three equal annual installments every December 31. The customer issued a non-interest bearing promissory note for the balance. The prevailing market rate for the similar note is 10%. (PV Factor = 2.48685) Lotte Inc. has reported the following operating expenses: 2020 2021 2022 Total marketing expenses 8,625 8,400 16,800 Total administrative expenses 4,875 6,600 5,700 On December 31, 2020, Lotte Inc. was able to collect all the installments due. On December 31, 2021, Lotte Inc. collected all the installments due except for those of the buyers of two laptops who defaulted on the installment due. As a result, Lotte Inc. repossessed the two laptops. At December 31, 2021, the repossessed laptop has an estimated selling price per unit of P5,625 after reconditioning cost in the amount of P750. The normal profit for each repossessed laptop is estimated at 20%. On July 1, 2022, LT Inc. was able to sell the two repossessed laptops at cash price of P7,500 each after reconditioning them. On December 31, 2022, LT Inc. was able to collect all the remaining installments due. 15. What is the net income to be reported by Lotte Inc. for the year ended December 31, 2020? 16. What is the net income to be reported by Lotte Inc. for the year ended December 31, 2021? 17. What is the net income to be reported by Lotte Inc. for the year ended December 31, 2022?