Kim Jin Woo Company reported post-tax profit of P491,400 for the year ended December 31, 2020. Cost of goods sold amounted to P2,108,000 which is P270,000 greater than the net purchases during the year. Operating expenses amounted three times the peso amount of income tax expense. Beginning inventory is three times the amount of ending inventory. Income tax rate is 30%. How much were the total operating expenses during the year 2020? A. P442,260 В. Р552,620 С. Рб31,800 D. P638,100

Kim Jin Woo Company reported post-tax profit of P491,400 for the year ended December 31, 2020. Cost of goods sold amounted to P2,108,000 which is P270,000 greater than the net purchases during the year. Operating expenses amounted three times the peso amount of income tax expense. Beginning inventory is three times the amount of ending inventory. Income tax rate is 30%. How much were the total operating expenses during the year 2020? A. P442,260 В. Р552,620 С. Рб31,800 D. P638,100

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

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Question

Kim Jin Woo Company reported post-tax profit of P491,400 for the year ended December 31, 2020. Cost
of goods sold amounted to P2,108,000 which is P270,000 greater than the net purchases during the
year. Operating expenses amounted three times the peso amount of income tax expense. Beginning
inventory is three times the amount of ending inventory. Income tax rate is 30%. How much were the
total operating expenses during the year 2020?
А. Р442,260
B. P552,620
С. Рб31,800
D. P638,100

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