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Problem 1: Integrity, Inc. consigned 1,000 units of the ordinary printer, costing P700 each to Honesty to be sold at P1,200 per unit. The agreement calls for a 20% commission on units sold and any expenses paid by the consignee are reimbursable by the consignor. Integrity, Inc. paid P30,000 freight and insurance of P10,000 for the shipment. At the end of the month, Honesty remitted the amount due to the consignor after deducting a commission of P204,000 and advertising costs of P35,000. The record shows that 120 units were left to the consignee and some units were returned to the consignor. Honesty paid the cost of shipment of the returned units amounting to P15,000. What is the proper amount of net income reported by the consignor?
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