AGG Corporation reports operating expenses in two categories: (1) selling and (2) general and administrative. The adjusted trial balance at December 31, 2021 included the following expense and loss accounts: Accounting and legal fees-P120,000; Advertising-P150,000; Freight-out-P80,000; Interest expense-P70,000; Loss on sale of equity investments at fair value through profit or loss-P30,000; Officers' salaries-P225,000; Rent expense-P220,000; Sales salaries and commissions-P140,000. One-half of the rented premises is occupied by the sales department. AGG shall report total selling expenses for 2021 of (A P400,000 B P370,000 C) P480,000 P360,000

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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AGG Corporation reports operating expenses in two categories: (1) selling and (2) general and administrative. The adjusted
trial balance at December 31, 2021 included the following expense and loss accounts:
Accounting and legal fees-P120,000; Advertising-P150,000; Freight-out-P80,000; Interest expense-P70,000; Loss on sale of
equity investments at fair value through profit or loss-P30,000; Officers' salaries-P225,000; Rent expense-P220,000; Sales
salaries and commissions-P140,000. One-half of the rented premises is occupied by the sales department.
AGG shall report total selling expenses for 2021 of
A P400,000
B P370,000
P480,000
P360,000
Transcribed Image Text:AGG Corporation reports operating expenses in two categories: (1) selling and (2) general and administrative. The adjusted trial balance at December 31, 2021 included the following expense and loss accounts: Accounting and legal fees-P120,000; Advertising-P150,000; Freight-out-P80,000; Interest expense-P70,000; Loss on sale of equity investments at fair value through profit or loss-P30,000; Officers' salaries-P225,000; Rent expense-P220,000; Sales salaries and commissions-P140,000. One-half of the rented premises is occupied by the sales department. AGG shall report total selling expenses for 2021 of A P400,000 B P370,000 P480,000 P360,000
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