Purple Company had sales of P4,000,000 during December of the current year. Experience has shown that merchandise equaling 7% of sales will be returned within 30 days and an additional 2% will be returned within 90 days. Returned merchandise is readily resalable. In addition, merchandise equaling 15% of sales will be exchanged for merchandise of equal or greater value. What amount should be reported for net sales for the month of December?