1. Amount of Purchases in VAT returns is greater than purchases stated in AFS.

P14,474,101.97.

Unaccounted purchases exposure on income tax. The previous explanation was that there were
discrepancies in the estimate brokerage, wharfage dues, and arrastre payments and these
expenses were not reflected in the AFS. Please confirm if these discrepancies amount to
P14,474,101.97 or if there are other expense items not reflected in AFS.

2. VAT. Unaccounted source of cash - purchase of capital good. It is noted that this pertains to
operating expenses that were booked as capital expense to avoid loss.

Was output VAT paid for these transactions? Were they subject to input VAT when purchased?

3. What is "Others" in your deduction from input vat? P57,424,284.38 (4th Quarter VAT
return)

4. What is the nature of Input Tax on purchase of capital goods > P1M deferred for the
succeeding period?

P4,603,967.94 (4th quarter VAT return) Are there supporting docs?

5. Proof of EWT on service charges for security agency. Acknowledgement receipt for the
amount of salaries.

6. What is the nature of purchases from the Coop? Follow up request Certificate of Registration
of Coop with CDA.

7. VAT SLI vs. TPI (BOC). There was a transaction on 4/30/2017 with Inter Continental Oils
and Fats Pte. Ltd. worth P72, 116, 317.8 which was not found in the records of BOC. Please
verify.