JIN Corporation started a promotional program. A towel is offered as a premium to customers who se box tops of facial soap returned and a remittance of P25. Distribution cost is P10 per towel. The entit estimated that only 60% of the box tops reaching the market will be redeemed. The entity provided th Following information: 2020 2021 Facial soap sales, P50 per unit Towel purchases, P90 per unit Number of box tops returned 2,500,000 2 337,500 22,500 Requirements: 4. Compute for the premiums (as an asset) amount for the year ended: A. December 31, 2020

Computers and More offers discounts to its customers and allows the customer to return the product if not satisfied. Computers and More had sales of $850,000 and offers the customer a payment term of 3/12 n/30. The company received $15,000 in returned goods. The cost of goods sold for the period after returns was $320,000. Calculate net profit and gross profit.