Journalize the following transaction in Balance Sheet Approach, prepare worksheet and financial statement. Princess Thea started a business on February 1, 2018 with a capital of P750 000. The following transactions are stated below. Date Transactions Feb.1 Paid an advance rental amounting P25,000. The agreement calls for P5,000 as the monthly rent. Feb. 1 Purchased equipment to OMNI amounting P100,000 using P50,000 cash. The remaining amount of P50,000 is a one year note with a compound interest rate of 5% compounded monthly which is to be paid at the end of each month. Feb. 1 Purchased supplies to Colorato amounting P200,000. The agreement calls for 50% down payment. Feb. 3 Received P27,982 in cash for service rendered. Feb. 5 Feb. 7 Feb. 8 Make a P270,891 worth of service given to Mr. Bugayong. Received cash for P70,902 and promised to pay the remaining balance. Received P500,000 from a service rendered to Bulalord corp. Paid Colorato for the supplies purchased on February 1. Paid the salaries of the employees amounting P20,000 Paid the utilities amounting P10,000 Withdraw P25,000 for personal use Feb. 12 Feb. 13 Feb. 14 Feb. 16 Received half payment from a costumer dated February 5. Received P150 000 for a service rendered to a costumer Feb. 20 Feb. 26 Billed P175,000 for a service rendered to Mr. Toledo on account. The agreement calls for 25% down payment and promised to pay the remaining balance. Feb. 28 Received payment from a costumer billed February 26. Additional Information. 1. The salvage value of the equipment is P5,000 after 15years. 2. The remaining supplies is amounting P4,000. 3. Received full payment from Mr. Bugayong. 4. Paid the electricity, water and telephone and wifi bill amounting P20,000 the cost of electricity is 50% and water is 30% of the account. 5. Paid the salaries of the employees amounting P20,000 6. Prepare all necessary adjustment.
Journalize the following transaction in Balance Sheet Approach, prepare worksheet and financial statement. Princess Thea started a business on February 1, 2018 with a capital of P750 000. The following transactions are stated below. Date Transactions Feb.1 Paid an advance rental amounting P25,000. The agreement calls for P5,000 as the monthly rent. Feb. 1 Purchased equipment to OMNI amounting P100,000 using P50,000 cash. The remaining amount of P50,000 is a one year note with a compound interest rate of 5% compounded monthly which is to be paid at the end of each month. Feb. 1 Purchased supplies to Colorato amounting P200,000. The agreement calls for 50% down payment. Feb. 3 Received P27,982 in cash for service rendered. Feb. 5 Feb. 7 Feb. 8 Make a P270,891 worth of service given to Mr. Bugayong. Received cash for P70,902 and promised to pay the remaining balance. Received P500,000 from a service rendered to Bulalord corp. Paid Colorato for the supplies purchased on February 1. Paid the salaries of the employees amounting P20,000 Paid the utilities amounting P10,000 Withdraw P25,000 for personal use Feb. 12 Feb. 13 Feb. 14 Feb. 16 Received half payment from a costumer dated February 5. Received P150 000 for a service rendered to a costumer Feb. 20 Feb. 26 Billed P175,000 for a service rendered to Mr. Toledo on account. The agreement calls for 25% down payment and promised to pay the remaining balance. Feb. 28 Received payment from a costumer billed February 26. Additional Information. 1. The salvage value of the equipment is P5,000 after 15years. 2. The remaining supplies is amounting P4,000. 3. Received full payment from Mr. Bugayong. 4. Paid the electricity, water and telephone and wifi bill amounting P20,000 the cost of electricity is 50% and water is 30% of the account. 5. Paid the salaries of the employees amounting P20,000 6. Prepare all necessary adjustment.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Journalize the following transaction in Balance Sheet Approach, prepare worksheet and financial statement.
Transcribed Image Text:Journalize the following transaction in Balance Sheet Approach, prepare worksheet and financial
statement.
Princess Thea started a business on February 1, 2018 with a capital of P750 000. The
following transactions are stated below.
Date
Transactions
Feb.1
Paid an advance rental amounting P25,000. The agreement calls for
P5,000 as the monthly rent.
Feb. 1
Purchased equipment to OMNI amounting P100,000 using P50,000 cash.
The remaining amount of P50,000 is a one year note with a compound
interest rate of 5% compounded monthly which is to be paid at the end
of each month.
Feb. 1
Purchased supplies to Colorato amounting P200,000. The agreement
calls for 50% down payment.
Feb. 3
Received P27,982 in cash for service rendered.
Feb. 5
Feb. 7
Make a P270,891 worth of service given to Mr. Bugayong. Received cash
for P70,902 and promised to pay the remaining balance.
Received P500,000 from a service rendered to Bulalord corp.
Paid Colorato for the supplies purchased on February 1.
Paid the salaries of the employees amounting P20,000
Paid the utilities amounting P10,000
Feb. 8
Feb. 12
Feb. 13
Feb. 14
Withdraw P25,000 for personal use
Feb. 16
Received half payment from a costumer dated February 5.
Received P150 000 for a service rendered to a costumer
Feb. 20
Feb. 26
Billed P175,000 for a service rendered to Mr. Toledo on account. The
agreement calls for 25% down payment and promised to pay the
remaining balance.
Feb. 28
Received payment from a costumer billed February 26.
Additional Information.
1. The salvage value of the equipment is P5,000 after 15years.
2. The remaining supplies is amounting P4,000.
3. Received full payment from Mr. Bugayong.
4. Paid the electricity, water and telephone and wifi bill amounting P20,000 the cost of
electricity is 50% and water is 30% of the account.
5. Paid the salaries of the employees amounting P20,000
6. Prepare all necessary adjustment.
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 3 steps with 2 images
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education