XYZ CORP. reported inventory on March 31, 2023 at P7,000,000 based on its recently conducted annual physical count on its warehouse and other storages within its premises before any necessary year-end adjustment relating to the following:

a) Goods shipped FOB seller on March 27, 2023 from a vendor to XYZ CORP. were received on April 2, 2023. The billed cost was P35,000.

b) Goods with a cost of P70,000 were sold by the entity and shipped on March 30 and were in transit on March 31, 2023. These goods were received by the customer on April 2, 2023 but were included on the inventory balance. Terms were FOB buyer.

c) Goods purchased under FOB shipping point term costing P55,000 were in transit on March 31, 2021 to XYZ CORP. The sales invoice was received on April 1, 2023 with freight cost paid by the seller amounting to P2,000.

d) Excluded in the physical count were goods shipped and billed at 350,000 to a customer FOB destination on March 31, 2023.

e) Goods costing P60,000 were not included on the count since these were sent under a consignment arrangement before year-end count.

f) EFG CORP. sold merchandise valued at P70,000 to XYZ CORP. The term of shipment is ex-ship and the merchandise was unloaded from the vessel on February 1, 2023. The purchase was recorded on March 29, 2023 when the invoice was received

g) Goods were purchased at an invoice price of P60,000 on March 31, 2023, with a shipping term of Cost, Insurance, Freight (CIF) and payment term of four monthly installments.

The title and possession over the goods were retained by the seller until full payment is made. The invoice was received on February 3, 2023 upon delivery of goods.

h) Goods costing P15,000 were sold under a bill and hold arrangement. These goods were included in the inventory balance since they were stored in the warehouse during the physical count.

XYZ CORP. applied constantly a 30% gross profit rate based on sales. The unadjusted balances of accounts receivable and accounts payable are P4,500,000 and P5,600,000 respectively.

1. The adjusted inventory account balance shall be ___________

A. 7,277,000 C. 7,382,000 B. 7,380,000 D. 7,476,500

1. The adjusted accounts receivable balance shall be ___________

A. 4,050,000 C. 4,220,000

B. 4,185,000 D. 4,250,000

1. The adjusted accounts payable balance shall be ___________

A. 5,473,000 C. 5,585,000

B. 5,552,000 D. 5,587,000