On March 1, 1996, Swartie Company opened a branch in Naga City, shipping to it merchandise billed at P220,000. For the 10-month period ended December 31, 1996 additional shipments amounting to P198,000 were made. Goods returned by the branch totaled P38,500. For 1996, the branch reported a net income of P30,000.Ending inventory of the branch was recorded at P26,400. Shipments to and from branch were consistently billed at 110% of cost. Requirements: 1.The branch inventory on December 31 at cost. 2.The branch net income in so far as the home office is concerned

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1 Branch Inventory on December 31 at cost Total shipments to the branch P220000 P198000 P41... View the full answer