The trial balances of INTERIM TEMPORARY Co.'s home office and branch are shown below: INTERIM TEMPORARY Co. Trial balance December 31, 20x1 Home office Dr. (Cr.) 4,400,000 Branch Dr. (Cr.) 1,668,000...



How much is the total profit in the combined statement of profit or loss? (Complete solution please)


The trial balances of INTERIM TEMPORARY Co.'s home office and branch are shown below:<br>INTERIM TEMPORARY Co.<br>Trial balance<br>December 31, 20x1<br>Home office<br>Dr. (Cr.)<br>4,400,000<br>Branch<br>Dr. (Cr.)<br>1,668,000<br>Cash<br>Accounts receivable<br>720,000<br>400,000<br>Inventory, beg.<br>Shipments from home office<br>Purchases<br>2,600,000<br>920,000<br>288,000<br>160,000<br>88,000<br>72,000<br>Freight-in<br>Shipments to branch<br>(920,000)<br>3,308,000<br>Investment in branch<br>Equipment<br>Accumulated depreciation - equipment<br>2,880,000<br>(288,000)<br>1,600,000<br>(160,000)<br>Furniture<br>360,000<br>200,000<br>(36,000)<br>(288,000)<br>Accumulated depreciation - furniture<br>(20,000)<br>(160,000)<br>(100,000)<br>Accounts payable<br>Accrued expenses<br>(180,000)<br>Share capital<br>(8,000,000)<br>Share premium<br>(2,000,000)<br>(824,800)<br>Retained earnings - beg.<br>Home office<br>(3,308,000)<br>(3,600,000) (2,000,000)<br>Sales<br>Depreciation expense<br>672,000<br>272,000<br>Utilities expense<br>General overhead expense<br>Various operating expenses<br>72,000<br>40,000<br>28,800<br>720,000<br>16,000<br>400,000<br>Totals<br>The home office and the branch have ending inventories of P1,080,000 and P600,000, respectively.<br>

Extracted text: The trial balances of INTERIM TEMPORARY Co.'s home office and branch are shown below: INTERIM TEMPORARY Co. Trial balance December 31, 20x1 Home office Dr. (Cr.) 4,400,000 Branch Dr. (Cr.) 1,668,000 Cash Accounts receivable 720,000 400,000 Inventory, beg. Shipments from home office Purchases 2,600,000 920,000 288,000 160,000 88,000 72,000 Freight-in Shipments to branch (920,000) 3,308,000 Investment in branch Equipment Accumulated depreciation - equipment 2,880,000 (288,000) 1,600,000 (160,000) Furniture 360,000 200,000 (36,000) (288,000) Accumulated depreciation - furniture (20,000) (160,000) (100,000) Accounts payable Accrued expenses (180,000) Share capital (8,000,000) Share premium (2,000,000) (824,800) Retained earnings - beg. Home office (3,308,000) (3,600,000) (2,000,000) Sales Depreciation expense 672,000 272,000 Utilities expense General overhead expense Various operating expenses 72,000 40,000 28,800 720,000 16,000 400,000 Totals The home office and the branch have ending inventories of P1,080,000 and P600,000, respectively.

Jun 10, 2022
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