Intermediate Accounting 1 , Practical Accounting 1 - Valix

1. Custom Company provided the following information for the year ended December 31, 2019; Inventory, Jan 1 - P650,000; Purchases - P2,300,000; Purchase discounts - P50,000; Purchase returns - P30,000; Freight In - P60,000; Freight out - P20,000; Sales - P3,400,000; Sales discounts - P20,000; Sales returns - P30,000. On December 31, 2019, a physical inventory revealed that the ending inventory was only P400,000. The gross profit on sales has remained constant at 30% in recent years. The entity suspects that some inventory may have been pilfered by one of the entity's employees. On December 31, 2019, what is the estimated cost of missing inventory?
2. A fire destroyed Newman Company's inventory on October 31. On January 1, the inventory had a cost of P2,500,000. During the period January 1 to October 31, the entity had Purchases of P8,900,000; purchase allowance- P1,400,000 and net sales of P15,750,000. Undamaged inventory at the date of fire had a cost of P200,000. The markup on cost is 75%. What was the cost of inventory destroyed by the fire?
3. GUNTHER Company provided the following information: Cash sales - P320,000; Cash collected on accounts receivable - P2,200,000; Accounts Receivable, Jan 1 - 550,000; Accounts receivable, Dec 31 - P475,000; Bad debts written off -P30,000; Purchases - P1,750,000; Inventory, Dec 31 - P420,000; Gross profit on cost - 20%. What is the inventory on January 1?