TAMAD Company has established the following activity for March:

Variable selling, general and administrative expenses include a charge for uncollectible accounts of 1% of sales. Total selling, general and administrative expenses is P35, 500 per month plus 15% of sales. Depreciation of P20, 000 per month is included in fixed selling, general and administrative expense. Unless identified, all expenses are paid for in cash.

Selected data from these estimated amounts are as follows:

Sales P350, 000 Gross profit (based von sales)

30% Increase in face value of accounts receivables

10, 000 Change in accounts payable in March None

Increase in inventories in March 5, 000

1. Refer to TAMAD Company. What are the estimated cash receipts from operations for March?

a. P336, 500b. P340, 000 c. P346, 500 d. P350, 000

2. Refer to TAMAD Company. What are the estimated cash disbursements from operation for March?

a. P309, 500 b. P314, 500 c. P316, 000 d. P318, 000

3. Refer toTAMAD Company. What is the estimated net income for March?

a. P11, 000 b. P17, 000 c. P35, 500 d. P52, 500