Problem 7

On August, 2019, HBO consigned to GEO 10 laptops costing P15,000 each, paying freight charge of P15,000. At the end of the month, GEO reported sales of 6 handbags at P30,000 each and incurred expenses of P12,500 and remitted the net proceeds due to HBO after deducting a 20% commission on the sales price.

What is the total cost of inventory of the unsold handbags?

A. 60,000 C. 71,000

B. 66,000 D. 75,000