Reference no: EM132622956

Stores reports sales revenue of P1,950,000 for the current year.

Inventory at the beginning of the year was P195,000.

Purchases during the year amounted to P1, 140,000.

At the end of the year inventory on hand was P142,500.

Various operating expenses:

Supplies - P99,000;

Salaries - P171,000;

Communication - P30,000;

Advertising - P69,000;

Utilities - P19,500;

Taxes and Insurance - P25,500;

Depreciation - P18,000,

Insurance - P45,000.

Required:

Problem 1: Income statement for the company.