On July 1, 20x1, Lala Home Store shipped 150 ovens, costing P9,000 each on consignment basis to SM Aura to be sold at P15,000 each. The consignee is to be allowed a 15% commission. Lala Home Store incurred P15,000 in shipping the 150 units. The agreement requires that SM Aura will advance 50% of the cost of the oven, to be applied to periodic remittances in proportion to the units sold. Any expenses related to the consigned units incurred by SM Aura are also deductible from the remittance. On October 31, 20x1, SM Aura rendered an account sale that includes the following deductions: Advertising costs, P15,000; delivery expenses to customers of P350 per unit; commission of P146,250.
On July 1, 20x1, Lala Home Store shipped 150 ovens, costing P9,000 each on consignment basis to SM Aura to be sold at P15,000 each. The consignee is to be allowed a 15% commission. Lala Home Store incurred P15,000 in shipping the 150 units. The agreement requires that SM Aura will advance 50% of the cost of the oven, to be applied to periodic remittances in proportion to the units sold. Any expenses related to the consigned units incurred by SM Aura are also deductible from the remittance. On October 31, 20x1, SM Aura rendered an account sale that includes the following deductions: Advertising costs, P15,000; delivery expenses to customers of P350 per unit; commission of P146,250.
REQUIRED:
Amount remitted to Lala Home Store
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