The following data were taken from the records of Jun Company for the year 2012:

Sales P5,590,000

Sales return 55,000

Inventories, January 1:

Raw materials 131,000

Work in process 238,350

Finished goods 442,000

Inventories, December 31:

Raw materials 145,500

Work in process 175,720

Finished goods 412,000

Direct labor 1,050,300

Purchases 2,051,500

Purchases returns 17,150

Purchases discounts 12,500

Freight in 8,250

Freight out 200,000

Allowance for doubtful accounts 25,000

Sales salaries 445,000

Office salaries 155,000

Depreciation - factory building 44,000

Depreciation - office equipment 44,000

Depreciation - store equipment 77,000

Depreciation - machinery and equipment 25,500

Amortization - patents 33,000

Bad debts expense 20,000

Factory supplies expense 75,550

Accrued manufacturing expenses payable 34,500

Indirect labor 35,300

Interest income 116,240

Interest receivable 34,250

Factory light and power 65,000

Property taxes and insurance - factory building 13,200

Prepaid insurance expense 18,750

Royalties on production 13,200

Supervision expense 65,000

Tools expense 10,500

Miscellaneous factory expense 50,150

Dividends paid 70,000

Questions: Based on the above and the result of your audit, answer the following:

1. The total manufacturing costs is A. P3,450,050 B. P3,496,250 C. P3,420,750 D. P3,431,250

2. The cost of goods sold is A. P3,558,880 B. P3,513,380 C. P3,523,880 D. P3,542,680

3. Total selling expense is A. P522,000 B. P735,200 C. P800,200 D. P722,000

4. The income before income taxes is A. P1,005,120 B. P1,114,860 C. P1,121,360 D. P1,051,360

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