The shareholder's equity of Indigo Corporation as of December 31, 2016 was as follows: Ordinary shares; P10 par; authorized 300,000 shares; 250,000 shares issued and outstanding 2,500,000 Share premium - ordinary shares 3,500,000 Retained earnings 1,740,000 On June 1, 2017, Indigo Corporation reacquired 40,000 ordinary shares at P40/share. The following transactions occurred in 2017 regarding these shares: July 1 - Sold 15,000 shares at P48 per share; August 1 - Sold 19,000 shares at P27 per share; and September 1 - Retired 1,000 shares. The following entries were made by the company's accountant to record the preceding transactions in 2017: June 1 Treasury shares 1,600,000 Cash 1,600,000 July 1 Cash 720,000 Treasury shares 720,000 Aug. 1 Cash 513,000 Treasury shares 513,000 Sept. 1 Ordinary shares 10,000 Treasury shares 10,000 The net income of Indigo Corporation for 2017 was P135,000. Based on the above and the result of your audit