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Question - Aca, Inc. has several branches. Goods costing P10,000 were transferred by the head office to Cebu Branch with the latter paying P600 for freight cost. Subsequently, the head office authorized Cebu Branch to transfer the goods to Davao branch for which the was billed fot the P10,000 cost of the goods and freight charge of P200 for the transfer. If the head office had shipped the goods directly to Davao branch, the freight charge would have been P700. What are the pertinent entries for the home office and branch?
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