Question
The home office bills its branch for shipment of goods at 25% above cost. During the year, goods costing P300,000 were shipped by the home
The home office bills its branch for shipment of goods at 25% above cost. During the year, goods costing P300,000 were shipped by the home office to the branch. At the end of the year, after appropriate adjustments are recognized, the allowance for overvaluation of branch inventory account credit balance was P14,000. The branch ending inventory at cost was:
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Financial Accounting and Reporting
Authors: Barry Elliott, Jamie Elliott
14th Edition
978-0273744535, 273744445, 273744534, 978-0273744443
