Problem 1 : Solve for the missing items in the partial income statements given below:

2019 2020 2021 2022 2023

Sales 100,000 120,000 150,000 160,000 171,000
Gross profit 24,000 32,000 44,000 39,000 18,000
Beginning 80,000 70,000 65,000 85,000 75,000
inventory
Net purchases 90,000 80,000 120,000 126,000 165,000
Cost of goods 70,000 85,000 100,000 111,000 135,000
sold
Sales ret & 6,000 3,000 6,000 10,000 18,000
allow
Ending 100,000 65,000 85,000 100,000 105,000
inventory
Net sales 94,000 117,000 144,000 150,000 153,000

Problem 2: Compute the cost of goods sold under each of the following independent situations:

Sales Company’s pricing policy Cost of Goods Sold

P 330,000 Goods are sold at 50% above cost P 220,000
P 168,000 Goods are sold at 40% above cost P 120,000
P 294,000 Goods are sold at a gross profit rate of 40% P 210,000
P 427,000 Goods are sold at a gross profit rate of 25% P 341,600
P 360,000 Goods are sold at a gross profit rate of 33 P 2,700
1/3 %
P 500,000 Goods are sold at a mark-up 20% on cost 416,666.67

Problem 3: Compute the amount received by the seller.

Place of Place of Invoice date Invoice Sales returns Credit terms FOB Date paid
buyer seller amount
Davao Manila 1/1 P 44,800 16,800 2/10,n/30 Dest., collect 1/11
Cebu Manila 2/2 336,000 56,000 n/45 Dest., collect 2/28
Batangas Cebu 3/3 280,000 - 3/10,n/60 Ship. Point, 3/13
collect

Problem 4: River opened Clothes For Us Retail on June 1, 2018 and initially invested P 1,000,000 cash and a land worth P 1,200,000.
The following are the transactions that also happened for the month of June 2018:
June 4 Bought 2 computers for P 50,000 each. The estimated useful life of each computer is 5 years and the company
opted to use straight-line method of depreciation.
5 Bought supplies worth P 15,000
7 Issued a promissory note to ABC Finance Co. to borrow P 25,000 at 12% interest. The principal and the interest are
due on August 31, 2018.
10 Purchased inventories on account from Apartment 10 Clothing for P 250,000. Terms: FOB Destination, Freight
prepaid. As of June 10, 2018, goods are not yet received.
12 Purchase inventories on credit from Forever Agape & Co. for P 300,000. Terms: 2/10, n/30.
15 Paid electricity and water bill of P 10,000 and P 2,000, respectively.
17 Sold 5,000 worth of inventories with 20% gross profit rate.
19 Received the 250,000 worth of inventories and invoice. Shipping costs were also paid worth P 5,000.
20 Paid the June 12, 2018 transaction.
25 River withdraw P 15,000 cash for personal use.
26 Unused supplies, P 7,500.
30 Salaries for sales assistants, P 55,000.
Required:
a. ) Journalize, post, adjust and close the following transactions and supply the balances as of June 30,2018 of the following:
1.) Cash 7.) Notes payable
2.) Inventories 8.) Total Assets
3.) Land 9.) Total liabilities
4.) Computer Equipment, net 10.) River, Capital
5.) Supplies 11.) Net Sales
6.) Interest Payable 12.) Net Income/Loss
Problem 5: Give the entries for the ff. transactions of Bicol Bookstore for the month of April 2018. Post to ledger and make a trial
balance as of April 30, 2018.

April

1 J. Manuel opens a bookstore investing the ff. assets: P 160,000 cash, a 30-day, 6% note from V.Cruz for P 16,600, P
20,400 store equipment and books and school supplies worth P 132,000
2 Paid rent for the month, P 13,200
3 Purchased books from National bookstore for cash P 56,000.

5 Sold merchandise to J. Agbayani Store on account, P 20,160. Terms: 2/10, n/60 FOB Bicol, prepaid, freight cost, P 900.

6 J. Agbayani Store returned merchandise worth P 2,240, credit memo was issued for the same amount.

12 Purchased books from C. Silayan Store, P 67,200. Terms: 20% down and the balance, 2/10, n/30.

13 J. Manuel withdrew books costing P 5,000 and 2,000 cash from the business for personal use.

14 Sold merchandise to C. Martin store on account P 16,800. Terms: 2/10, n/30, FOB Caloocan, prepaid, freight cost, P 600.

15 Received credit memo from C. Silayan store for books returned, P 4,448

18 Received a check from J. Agbayani Store in full payment of their account.

19 Received P 3,360 allowance for inferior quality of books purchased for cash.

20 Purchased books for and school supplies for sale from L. Alindogan Store for P 44,800,paying P 4,480 d0wn, issuing a
10-day, 6% note for P 20,000, and the balance, n/30.

21 Purchased an adding machine from Casio Phil. For P 7,000. Terms: 1/15, n/30.

22 Purchased books for cash P 33,600, FOB Quezon City, prepaid, freight cost, P800.

23 Paid C. Silayan Store the amount due.

23 Sold L. Tolentino Store merchandise, P 44,800 list price, marked 10% and 20% off. Terms:1/15, n/30.

26 Collected the amount due from C. Martin Store.

27 Paid L.Alindogan Store the amount due.

28 Paid Casio Phil . the amount due.

29 Paid employee wages, P 15,500.

30 Collected the amount due from V. Cruz.

Problem 6: At the end of December 31, 2018, the following invoices for purchase of inventory were not recorded by ABC Co.

Invoice date Amount Date Shipped Date Received FOB terms

12/31/2018 400,000 12/22/2018 12/25/2018 Destination
1/2/2019 750,000 12/28/2018 1/2/2019 Shipping point
12/27/2018 250,000 1/3/2019 1/5/2019 Shipping point
1/10/2019 150,000 12/31/2018 1/1/2019 destination
12/30/2018 230,000 12/30/2018 1/2/2019 Shipping point
12/31/2018 50,000 12/29/2018 12/31/2018 Destination
12/30/2018 130,000 12/31/2018 1/2/2019 Shipping point

As of December 31, 2018, the unadjusted balance of the inventory account is 1,500,000. How much is the adjusted inventory
account?
Answer:

Problem 3

Manila: 44,800 - 16,800 = 28,000 x 0.98 = 27,440

Manila: 336,000 – 56,000 = 280,000
Cebu: 280,000 x 0.97 = 271,600

Problem 4
GENERAL JOURNAL

Date Accounts Debit Credit

June 1 Cash P 1,000,000
Land 1,200,000
River, Capital 2,200,000
Initial investment or River

4 Equipment 100,000
Cash 100,000
Purchased computers (est. life: 5 years)

5 Supplies 15,000
Cash 15,000
Purchased Supplies

7 Cash 25,000
Notes Payable 25,000
Borrowed to ABC Finance Co. with a 12% interest

12 Inventories 300,000
Accounts Payable 300,000
Purchased inventory on account to Forever Agape & Co. (2/10,n/30)
 15 Electric Expense 10,000
Water Expense 2,000
Cash 12,000
Paid electricity and water expense

17 Cash 6,000
Sales Revenue 6,000

Cost of goods sold 5,000

Inventory 5,000
To records the sold inventories with a 20% gross profit rate

19 Inventory 245,000
Accounts Payable 245,000
Purchased inventory with a shipping cost of 5,000

20 Accounts Payable 300,000

Inventory 60,000
Cash 240,000
Paid credit on Forever Agape & Co. with a 2% discount

25 Cash 15,000
River, Withdrawal 15,000
River withdrew for personal use

26 Supplies Expense 7,500

Supplies 7,500
To record the unused supplies

30 Salaries Expense 55,000

Cash 55,000
Payment for salaries of assistants

GENERAL LEDER

Cash

Date Item F Debit Credit

June 1 P 1,000,000

4 100,000

5 15,000
 7 25,000

15 12,000

17 6,000

20 240,000

25 15,000

30 1,031,000 55,000

P 594,000 437,000

Supplies

Date Item F Debit Credit

June 5 15,000

26 7,500 7,500

Inventory

Date Item F Debit Credit

June 12 P 300,000

17 5,000

19 245,000

20 545,000 60,000

480,000 65,000

Land

Date Item F Debit Credit

June 1 P 1,200,000

P 1,200,000

Equipment

Date Item F Debit Credit

June 4 P 100,000

P 100,000
 Notes Payable

Date Item F Debit Credit

June 7 P 25,000

P 25,000

Accounts Payable

Date Item F Debit Credit

June 12 P 300,000

300,000

245,000

245,000

Sales Revenue

Date Item F Debit Credit

June 17 P 6,000

P 6,000

Cost of Goods Sold

Date Item F Debit Credit

June 17 P 5,000

P 5,000

Electricity Expense

Date Item F Debit Credit

June 15 P 10,000

P 10,000
 Water Expense

Date Item F Debit Credit

June 15 P 2,000

P 2,000

Supplies Expense

Date Item F Debit Credit

June 26 P 7,500

P 7,500

Salaries Expense

Date Item F Debit Credit

June 30 P 55,000

P 55,000

River, Capital

Date Item F Debit Credit

June 1 P 220,000

P 220 ,000

River, Withdrawal

Date Item F Debit Credit

June 7 P 15,000

P 15,000

TRIAL BALANCE
 Accounts Debit Credit
Cash P 594,000
Supplies 7,500
Inventory 480,000
Land 1,200,000
Equipment 100,000
Notes Payable 25,000
Accounts Payable 245,000
Sales Revenue 6,000
Cost of Goods Sold 5,000
Electricity Expense 10,000
Water Expense 2,000
Supplies Expense 7,500
Salaries Expense 55,000
River, Capital 2,200,000
River, Withdrawal 15,0000
TOTAL 2,476,000 2,476,000

Accounts Unadjusted Trial Adjustments Adjusted Trial Balance Income Statement

Balance

Dr Cr Dr Cr Dr Cr Dr Cr
Cash 594,000 594,000
Supplies 7,500 7,500
Inventory 480,000 480,000
Land 1,200,000 1,200,000
Equipment 100,000 100,000
Accumulated 138.89 138.89
Depreciation
Notes 25,000 25,000
Payable
Accounts 245,000 245,000
Payable
Interest 3,000 3,000
Payable
River, Capital 2,200,000 2,200,000
River, 15,000 15,000
Withdrawal
Sales 6,000 6,000 6,000
Revenue
Cost of 5,000 5,000 5,000
Goods Sold
 Electricity 10,000 10,000 10,000
Expense
Water 2,000 2,000 2,000
Expense
Supplies 7,500 7,500 7,500
Expense
Salaries 55,000 55,000 55,000
Expense
Depreciation 138.89 138.89 138.89
Expense
Interest 3,000 3,000 3,000
Expense
TOTAL 2,476,000 2,476,000 141.8 141.89 2,476,141. 2,476,141. 82,638.89 6,000
9 89 89
NET 76,638.89
PROFIT/LOS
S

Kadugtong po ng 10 columns
Accounts Balance Sheet
Dr Cr
Cash 594,000
Supplies 7,500
Inventory 480,000
Land 1,200,000
Equipment 100,000
Accumulated Depreciation 138.89
Notes Payable 25,000
Accounts Payable 245,000
Interest Payable 3,000
River, Capital 2,200,000
River, Withdrawal 15,000
Sales Revenue
Cost of Goods Sold
Electricity Expense
Water Expense
Supplies Expense
Salaries Expense
Depreciation Expense
Interest Expense
TOTAL 2,396,500 2,473,138.89
NET PROFIT/LOSS 76,638.89

CLOSING ENTRIES
June 31 Closing Entries:

Sales Revenue 6,000

Income Summary 6,000

Income Summary 82,638.89

Cost of goods sold 5,000

Electricity Expense 10,000

Water Expense 2,000

Supplies Expense 7,500

Salaries Expense 55,000

Depreciation Expense 138.89

Interest expense 3,000

River, Capital 2,200,000

Loss Summary 76,638.89

River, Capital 15,000

River, Withdrawal 15,000

1.) Cash = P 594,000 7.) Notes payable = 25,000

2.) Inventories = 480,000 8.) Total Assets = 2,381,500
3.) Land = 1,200,000 9.) Total liabilities = 273,000
4.) Computer Equipment = 100,000 10.) River, Capital = 2,200,000
5.) Supplies = 7,500 11.) Net Sales = 6,000
6.) Interest Payable = 3,000 12.) Net Income/Loss = 76,638.89/loss

PROBLEM 5:

Date Accounts Debit Credit

April
1 Cash 101 176,000
Equipment 104 20,400
Books and School Supplies 103 132,000
J. Manuel, Capital 301 312,400
Accounts Payable 201 16,600

2 Rent Expense 501 13,200

Cash 101 13,200
3 Books and School Supplies 103 56,000
Cash 101 56,000

5 Accounts Receivable 102 20,160

Sales Revenue 401 20,160

Cost of goods sold 504 20,160

Books and School Supplies 103 20,160

6 Sales Return 402 2,240

Accounts Receivable 102 2,240

Books and School Supplies 103 2,240

Cost of goods sold 2,240

12 Books and School Supplies 103 67,200

Cash 101 13,440
Accounts Payable 201 53,760

13 J. Manuel, Drawings 302 7,000

Books and school supplies 103 5,000
Cash 2,000

14 Accounts Receivable 102 16,800

Sales Revenue 401 16,800
66
Cost of goods sold 504 16,800
Books and school supplies 103 16,800

15 Accounts Payable 201 4,448

Books and school Supplies 103 4,448

18 Cash 101 17,920

Accounts Receivable 102 17,920

19 Cash 101 3,360

Books and School Supplies 103 3,360

20 Books and School Supplies 103 44,800

Accounts payable 201 40,320
Cash 101 4,480

21 Equipment 104 7,000

Accounts Payable 201 7,000

22 Books and School Supplies 103 33,600

Cash 101 33,600

23 Accounts Payable 201 49,312

Cash 101 49,312

23 Accounts Receivable 102 39,424

Sales Revenue 401 39,424

Cost of goods sold 504 39,424

Books and school 103 39,424
supplies

26 Cash 101 16,800

Accounts Receivable 102 16,800
 27 Accounts Payable 201 40,320
Interest Expense 503 1,200
Cash 41,520

28 Accounts Payable 201 7,000

Cash 101 6,300
Purchase Discou.nt 700

29 Salaries Expense 502 15,500

Cash 101 15,500

30 Accounts Payable 201 16,600

Interest Expense 503 996
Cash 101 17,596
Total 888,504 888,504

CASH 101
DATE Item F Debit Credit
April 1 176,000
2 13,200
3 56,000
12 13,400
13 2,000
18 17,920
19 3,360
20 4,480
22 33,600
23 49,312
26 16,800
28 214,080 6,300
29 2,692 15,500
30 17,596
211,388

ACCOUNTS RECEIVABLE 102

DATE Item F Debit Credit
April 5 20,160
6 2,240
14 16,800
18 17,920
23 39,424
26 76,384 16,800
39,424 36,960
BOOKS AND SCHOOL SUPPLIES 103
DATE Item F Debit Credit
April 1 132,000
3 56,000
5 20,160
6 2,240
12 67,200
13 5,000
14 16,800
15 4,448
19 3,360
20 44,800
22 33,600
23 335,840 39,424
246,648 89,192

EQUIPMENT 104
DATE Item F Debit Credit
April 1 20,400
21 7,000
27,400

ACCOUNTS PAYABLE 201

DATE Item F Debit Credit
April 1 16,600
12 53,760
 15 4,448
20 40,320
21 7,000
23 49,312 117,680
27 40,320 -0-
28 7,000
30 16,600
117,680

J. MANUEL, CAPITAL 301

DATE Item F Debit Credit
April 1 312,400

J. MANUEL, DRAWINGS 302

DATE Item F Debit Credit
April 13 7,000

SALES REVENUE 401

DATE Item F Debit Credit
April 5 20,160
 14 16,800
23 39,424
76,384

SALES RETURN 402

DATE Item F Debit Credit
April 6 2,240

RENT EXPENSE 501

DATE Item F Debit Credit
April 2 13,200

SALARIES EXPENSE 502

DATE Item F Debit Credit
April 29 15,500

INTEREST EXPENSE 503

DATE Item F Debit Credit
April 27 1,200
30 996
2,196

COST OF GOODS SOLD 504

DATE Item F Debit Credit
April 5 20,160
14 16,800
23 39,424
76,384
TRIAL BALANCE

ACCOUNTS DEBIT CREDIT

Cash 2,692

Accounts Receivable 39,424

Books and School Supplies 246,648

Equipment 27,400

Accounts Payable 0

J. Manuel, Capital 312,400

J. Manuel, Drawings 7,000

Sales Revenue 76,384

Purchase Discount 700

Sales Return 2,240

Rent Expense 13,200

Salaries Expense 15,500

Interest Expense 2,196

Cost of Goods Sold 74,144

Total:

Problem 6:

Date Accounts Debit Credit

Decembe 25 Inventory P 400,000
r
Accounts Payable 400,000

28 Inventory 750,000
Accounts Payable 750,000

30 Inventory 230,000
Accounts Payable 230,000

31 Inventory 50,000
Accounts Payable 50,000

31 Inventory 130,000
Accounts Payable 130,000
TOTAL P 1,560,000 P 1,560,000
Use periodic if there is no given profit rate for the

9. Constitutional commission

10. RA 5185

11.provides nottion of accountability which implies leaders should be open for criticism

12. jean jacquesrousseau

1943 constitution

Article II Section 1

Legislative Branch

Judiciary Department

The rights of every person is being heard snd taken care off

Due process of law

Warrant of Arrest

Power of eminent domain

Executive branch

Search Warrant

Artice III Section 11

Article XIV Section 3