Reference no: EM132977833
Direction:
1. Journalize the transactions
2. post it to T-account,
3. prepare Trial Balance (Unadjusted, Adjustment and Adjusted),
4. Financial Statement (Income statement, Statement of changes in owner's equity and Balance sheet)
5. Prepare worksheet
DATE TRANSACTIONS
January 1 2019 Shoelina Magdangal established a shoe business
1 Shoelina made an initial investment of cash P680,000
2 Bought ballpens, papers, and shoe rock to display shoes for P100 and P5,000
3 Bought 100 pair of shoes for selling purposes worth P20,000
Note: The transaction is silent --- no inventory system. So periodic (purchases) should use.
(20,000/100 pair = 200 each pair or original price)
4 Sold 3 pair of shoes, the price of each shoes is with 125% of markup
Sold 2 pair of shoes on account to Marian Hilera
6 Received a payment from Marian Hilera
7 Made a 3 months advance payment of rent to Rentucky, P10,000 each month
8 Used up all the ballpens bought on January 3
9 Purchased Land for the future expansion, in the name of the business P250,000, with attach building worth P200,000 with 10 years of useful life
10 Acquired 2 electric fans for P700 each with 2 years of useful life
11 Bought cabinets to be used for stocking of other shoes P7,000 with useful life of 10 years on account
12 Acquired car for transporting products, P800,000 with useful life of 10 years. Made a down payment of 25% of the price and issue a note for the remaining balance
13 Received an advance payment for 2 shoes from a customer but the shoe will be delivered after 10 days P500
14 Deliver the shoe to customer who made an advance payment January 13
15 Received meralco bill P2,000
16 Hired 2 employess with the contract of P6,000 salary monthly
17 Made a loan to a bank worth P200,000 with the title of the land bought on January 9 as mortgage
18 Shoelina withdrew cash for personal use P5,000
19 Purchased a telephone to communicate with other customer, P20,000 with discount of 20%
20 Sold a 10 pair of shoes with 5% discount