Cash Accounts Receivable

₱ 33,000.00 ₱ 62,080.00 ₱ 192,000.00 ₱ 113,000.00

₱ 113,000.00 ₱ 6,000.00 ₱ 270,000.00 ₱ 70,000.00
₱ 250,000.00 ₱ 164,900.00 ₱ 392,000.00 ₱ 200,000.00
₱ 196,000.00 ₱ 4,000.00 ₱ 420,000.00 ₱ 392,000.00
₱ 384,160.00 ₱ 26,000.00 ₱ 71,000.00
₱ 51,000.00 ₱ 1,274,000.00 ₱ 846,000.00
₱ 4,000.00 ₱ 428,000.00
₱ 21,000.00
₱ 7,000.00
₱ 9,000.00
₱ 400,000.00
₱ 976,160.00 ₱ 754,980.00
₱ 221,180.00

AccountsPayable Salaries Payable

₱ 64,000.00 ₱ 108,000.00 ₱ 51,000.00
₱ 170,000.00 ₱ 170,000.00
₱ 25,000.00 ₱ 125,000.00
₱ 373,000.00
₱ 259,000.00 ₱ 776,000.00
₱ 517,000.00

Purchases Return and Allowances Purchases Discounts

₱ 25,000.00 ₱ 1,920.00
₱ 5,100.00
₱ 7,020.00
 Interest Expense Miscellaneous Expense
₱ 26,000.00 ₱ 7,000.00
 Merchandise Inventory Supplies
₱ 413,000.00 ₱ 16,000.00 ₱ 51,000.00 ₱ 58,000.00
₱ 397,000.00 ₱ 21,000.00
₱ 14,000.00

Mortgage Payable Buenaflor, Capital

₱ 2,600,000.00 ₱ 1,569,000.00

Transportation In Salaries Expense

₱ 4,000.00 ₱ 51,000.00
₱ 9,000.00 ₱ 51,000.00
₱ 13,000.00 ₱ 102,000.00
 Prepaid Insurance Land
₱ 48,000.00 ₱ 2,000.00 ₱ 460,000.00
₱ 46,000.00

Buenaflor Withdrawals Income Summary

₱ 400,000.00 ₱ 16,000.00

Supplies Expense Insurance Expense

₱ 58,000.00 ₱ 2,000.00
 Building Accumulated Dep. - Building
₱ 1,750,000.00 ₱ 350,000.00
₱ 9,000.00
₱ 359,000.00

Sales Sales Return and Allowances

₱ 270,000.00 ₱ 70,000.00
₱ 250,000.00 ₱ 71,000.00
₱ 392,000.00 ₱ 141,000.00
₱ 420,000.00
₱ 1,332,000.00

Dep. Expense - Building Dep. Expense - Equipment

₱ 9,000.00 ₱ 12,000.00
 Equipment Accumulated Dep. - Equipment
₱ 2,310,000.00 ₱ 630,000.00
₱ 12,000.00
₱ 642,000.00

Sales Discounts Purchases

₱ 4,000.00 ₱ 170,000.00
₱ 7,840.00 ₱ 125,000.00
₱ 11,840.00 ₱ 373,000.00
₱ 668,000.00

Transportation Out Advertising Expense

₱ 4,000.00 ₱ 6,000.00
Date Account Title Debit Credit
Feb. 1 Cash ₱ 113,000.00
Accounts Receivable ₱ 113,000.00
2 Accounts Payable ₱ 64,000.00
Cash ₱ 62,080.00
Purchase Discounts (3%) ₱ 1,920.00
4 Purchases ₱ 170,000.00
Accounts Payable ₱ 170,000.00
5 Accounts Receivable ₱ 270,000.00
Sales ₱ 270,000.00
7 Advertising Expense ₱ 6,000.00
Cash ₱ 6,000.00
7 Cash ₱ 250,000.00
Sales ₱ 250,000.00
8 Accounts Payable ₱ 170,000.00
Cash ₱ 164,900.00
Purchase Discounts (3/10) ₱ 5,100.00
9 Transportation In ₱ 4,000.00
Cash ₱ 4,000.00
10 Sales Return and Allowances ₱ 70,000.00
Accounts Receivable ₱ 70,000.00
12 Cash ₱ 196,000.00
Sales Discount (2/10) ₱ 4,000.00
Accounts Receivable ₱ 200,000.00
14 Interest Expense ₱ 26,000.00
Cash ₱ 26,000.00
15 Salaries Expense ₱ 51,000.00
Cash ₱ 51,000.00
16 Accounts Receivable ₱ 392,000.00
Sales ₱ 392,000.00
18 Transportation Out ₱ 4,000.00
Cash ₱ 4,000.00
19 Supplies ₱ 21,000.00
Cash ₱ 21,000.00
20 Purchases ₱ 125,000.00
Accounts Payable ₱ 125,000.00
22 Miscellaneous Expense ₱ 7,000.00
Cash ₱ 7,000.00
23 Cash ₱ 384,160.00
Sales Discount (2/10) ₱ 7,840.00
Accounts Receivable ₱ 392,000.00
24 Purchases ₱ 373,000.00
Accounts Payable ₱ 373,000.00
24 Transportation In ₱ 9,000.00
Cash ₱ 9,000.00
25 Accounts Receivable ₱ 420,000.00
Sales ₱ 420,000.00
26 Sales Return and Allowances ₱ 71,000.00
 Accounts Receivable ₱ 71,000.00
28 Buenaflor, Withdrawals ₱ 400,000.00
Cash ₱ 400,000.00
28 Accounts Payable ₱ 25,000.00
Purchase Returns and Allowances ₱ 25,000.00

Adjusting Entries Debit Credit

a. Salaries Expense ₱ 51,000.00
Salaries Payable ₱ 51,000.00
b. Insurance Expense ₱ 2,000.00
Prepaid Insurance ₱ 2,000.00
c. Depreciation Expense - Building ₱ 9,000.00
Accumulated Dep. - Building ₱ 9,000.00
Depreciation Expense - Equipment ₱ 12,000.00
Accumulated Dep. - Equipment ₱ 12,000.00
d. Supplies Expense ₱ 58,000.00
Supplies ₱ 58,000.00
e. Income Summary ₱ 16,000.00
Merchandise Inventory ₱ 16,000.00
 Credit

₱ 113,000.00

₱ 62,080.00
₱ 1,920.00

₱ 170,000.00

₱ 270,000.00

₱ 6,000.00

₱ 250,000.00

₱ 164,900.00
₱ 5,100.00

₱ 4,000.00

₱ 70,000.00

₱ 200,000.00

₱ 26,000.00

₱ 51,000.00

₱ 392,000.00

₱ 4,000.00

₱ 21,000.00

₱ 125,000.00

₱ 7,000.00

₱ 392,000.00

₱ 373,000.00

₱ 9,000.00

₱ 420,000.00
₱ 71,000.00

₱ 400,000.00

₱ 25,000.00

Credit

₱ 51,000.00

₱ 2,000.00

₱ 9,000.00

₱ 12,000.00

₱ 58,000.00

₱ 16,000.00
 Trial Balance
Account Titles Dr. Cr.
Cash ₱ 221,180.00
Accounts Receivable ₱ 428,000.00
Merchandise Inventory ₱ 413,000.00
Supplies ₱ 72,000.00
Prepaid Insurance ₱ 48,000.00
Land ₱ 460,000.00
Building ₱ 1,750,000.00
Accumulated Depreciation - Building ₱ 350,000.00
Equipment ₱ 2,310,000.00
Accumulated Depreciation - Equipment ₱ 630,000.00
Accounts Payable ₱ 517,000.00
Salaries Payable
Mortgage Payable ₱ 2,600,000.00
Buenaflor, Capital ₱ 1,569,000.00
Buenaflor, Withdrawals ₱ 400,000.00
Income Summary
Sales ₱ 1,332,000.00
Sales Returns and Allowances ₱ 141,000.00
Sales Discounts ₱ 11,840.00
Purchases ₱ 668,000.00
Purchases Returns and Allowances ₱ 25,000.00
Purchases Discounts ₱ 7,020.00
Transportation In ₱ 13,000.00
Salaries Expense ₱ 51,000.00
Supplies Expense
Insurance Expense
Depreciation Expense - Building
Depreciation Expense - Equipment
Transportation Out ₱ 4,000.00
Advertising Expense ₱ 6,000.00
Interest Expense ₱ 26,000.00
Miscallaneous Expense ₱ 7,000.00
### ₱ 7,030,020.00
 Adjusting Entries Adjusted Trial Balance Income Statement
Dr. Cr. Dr. Cr. Dr.
₱ 221,180.00
₱ 428,000.00
₱ 16,000.00 ₱ 397,000.00 ₱ 413,000.00
₱ 58,000.00 ₱ 14,000.00
₱ 2,000.00 ₱ 46,000.00
₱ 460,000.00
₱ 1,750,000.00
₱ 9,000.00 ₱ 359,000.00
₱ 2,310,000.00
₱ 12,000.00 ₱ 642,000.00
₱ 517,000.00
₱ 51,000.00 ₱ 51,000.00
₱ 2,600,000.00
₱ 1,569,000.00
₱ 400,000.00
₱ 16,000.00 ₱ 16,000.00
₱ 1,332,000.00
₱ 141,000.00 ₱ 141,000.00
₱ 11,840.00 ₱ 11,840.00
₱ 668,000.00 ₱ 668,000.00
₱ 25,000.00
₱ 7,020.00
₱ 13,000.00 ₱ 13,000.00
₱ 51,000.00 ₱ 102,000.00 ₱ 102,000.00
₱ 58,000.00 ₱ 58,000.00 ₱ 58,000.00
₱ 2,000.00 ₱ 2,000.00 ₱ 2,000.00
₱ 9,000.00 ₱ 9,000.00 ₱ 9,000.00
₱ 12,000.00 ₱ 12,000.00 ₱ 12,000.00
₱ 4,000.00 ₱ 4,000.00
₱ 6,000.00 ₱ 6,000.00
₱ 26,000.00 ₱ 26,000.00
₱ 7,000.00 ₱ 7,000.00
₱7,102,020.00 ₱7,102,020.00 ₱ 1,472,840.00
₱ 288,180.00
₱1,761,020.00
Income Statement Balance Sheet Closing Entries
Cr. Dr. Cr. Dr.
₱ 221,180.00
₱ 428,000.00
₱ 397,000.00 ₱ 397,000.00
₱ 14,000.00
₱ 46,000.00
₱ 460,000.00
₱ 1,750,000.00
₱ 359,000.00
₱ 2,310,000.00
₱ 642,000.00
₱ 517,000.00
₱ 51,000.00
₱ 2,600,000.00
₱ 1,569,000.00 ₱ 400,000.00
₱ 400,000.00

₱ 1,332,000.00

₱ 25,000.00
₱ 7,020.00

₱ 1,761,020.00 ₱ 6,026,180.00 ₱ 5,738,000.00

₱ 288,180.00
₱1,761,020.00 ₱ 6,026,180.00 ###
Closing Entries Post-Closing Trial Balance
Cr. Dr. Cr.
₱ 221,180.00
₱ 428,000.00
₱ 397,000.00
₱ 14,000.00
₱ 46,000.00
₱ 460,000.00
₱ 1,750,000.00
₱ 359,000.00
₱ 2,310,000.00
₱ 642,000.00
₱ 517,000.00
₱ 51,000.00 ₱ 5,626,180.00
₱ 2,600,000.00 ₱ 5,626,180.00
₱ 1,169,000.00
₱ 400,000.00
₱ 288,180.00 ₱ 288,180.00
 Statement of Changes in Equity
Buenaflor, Capital ₱ 1,569,000.00
Add: Net Income ₱ 288,180.00
Total ###
Less: Buenaflor, Withdrawals ₱ 400,000.00
Buenaflor, Capital (Feb. 28, 2023) ###

Income Statement
Net Sales ₱ 1,179,160.00
Less: Cost of Goods Sold ₱ 664,980.00
Gross Profit ₱ 514,180.00
Less: Operating Expenses ₱ 222,000.00
Selling Expenses ₱ 4,000.00
Total Operating Expenses ₱ 226,000.00
Net Income ₱ 288,180.00

Balance Sheet
Current Assets
Cash ₱ 221,180.00
Account Receivables ₱ 428,000.00
Merchandise Inventory ₱ 397,000.00
Supplies ₱ 14,000.00
Prepaid Insurance ₱ 46,000.00 ₱ 1,106,180.00
NCA
Land ₱ 460,000.00
Building ₱ 1,750,000.00
Less: Accumulated. Dep. ₱ 359,000.00
Equipment ₱ 2,310,000.00
Less: Accumulated. Dep. ₱ 642,000.00 ₱ 3,519,000.00
TOTAL ASSETS ₱4,625,180.00
Liabilities
Accounts Payable ₱ 517,000.00
Salaries Payable ₱ 51,000.00
Mortgage Payable ₱ 2,600,000.00
₱ 3,168,000.00
Equity
Buenaflor, Capital (Feb. 28, 2023) ₱ 1,457,180.00
TOTAL LIAB. AND EQUITY ₱4,625,180.00