On January 1, 20x7, Dreicy Electrical Shop received from Kim Trading 300

pieces of bread toasters. Dreicy was to sell these on consignment at 50% above

cost for a 15% commission on the sales price. After selling 200 pieces, Dreicy

had the remaining unsold units repaired for some electrical defects for which

P2,000 was spent. Kim subsequently increased the selling price of the remaining

units to P33,000. On January 31, Dreicy remitted P6,498,000 to Kim after

deducting 15% commission, P85,000 for delivery expenses and P200,000 for the

repair of the defective units.

The consigned goods cost Kim Trading P20,000 per unit, and P900,000 was paid

to ship them to Dreicy Electrical Shop. All expenses in connection with the

consignment are reimbursable to the consignee.

The consignment profit and the cost of inventory on consignment are: