Reference no: EM132662869
Required:
Problem 1. Employ transaction analysis on each business event.
Problem 2. Record events using a basic recording method and then summarize.
Problem 3. Record events using the double-entry accounting system and then summarize and prepare accounting reports.
Dr. Jack started his own dental clinic service business on February 1, 2018.
1. He deposited 700,000 pesos in a bank account to be used as business funds.
2. Business registration and licenses were paid for 25,000 pesos.
3. Paid 30,000 pesos as rent of property to be used for the month of December.
4. He purchased dental equipment from ABC Company with a cost of 500,000 on installment credit. On the same day, he made a down payment of 100,000.
5. The property rented was renovated and Dr. Jack spent 50,000 pesos for this.
6. Purchased 100,000 worth of dental supplies from XYZ supplier on credit.
7. Paid 20,000 on his dental assistant's salary.
8. Received and paid the electricity bill for 10,000 pesos.
9. For the month, he collected 125,000 pesos for all dental services he has done.
10. The water bill was received and paid for 2,500 pesos.
11. He paid 10,000 to ABC Company as his first monthly installment.
12. He purchased and paid additional equipment to be used for 25,000 pesos.
13. He paid 50,000 pesos to XYZ Company as partial settlement of his debt.
14. He withdrew 20,000 pesos from his business as personal allowance.