Presented below are items taken from the unadjusted trial balance of the Company and its branch...

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Presented below are items taken from the unadjusted trial balance of the Company and its branch on December 31, 2021. It is the company's policy to bill all branches for merchandise shipments at 30% above cost. Determine: a. How much of the branch inventory on January represents purchases from outsiders? b. Assuming that the branch ending inventory acquired from home office is P 46,800 at billed price, what is the net income (loss) of the branch insofar as the home office is concerned? 6 points Shipments to branch Allowance for overvaluation of branch inventory Shipments from home office Purchases (from outsiders) Merchandise inventory, January 1 Merchandise inventory, December 31 Sales Expenses Home Office Books P 360,000 119,880 Branch Books P 468,000 173,520 65,520 58,500 648,000 61,200 Presented below are items taken from the unadjusted trial balance of the Company and its branch on December 31, 2021. It is the company's policy to bill all branches for merchandise shipments at 30% above cost. Determine: a. How much of the branch inventory on January represents purchases from outsiders? b. Assuming that the branch ending inventory acquired from home office is P 46,800 at billed price, what is the net income (loss) of the branch insofar as the home office is concerned? 6 points Shipments to branch Allowance for overvaluation of branch inventory Shipments from home office Purchases (from outsiders) Merchandise inventory, January 1 Merchandise inventory, December 31 Sales Expenses Home Office Books P 360,000 119,880 Branch Books P 468,000 173,520 65,520 58,500 648,000 61,200