May Aman opened a Samgy restaurant called "Manyaman". She opened a bankaccount for her business and deposited P200,000. The business earned P70,0000.Ms Aman is none accounting graduate and doubted with the recorded expenses. Sheis not sure if she should include the following items as expenses.P.Salary expenseRent ExpenseUtilities expense (at the restaurant)Utilities expense (at home)Supplies expenseTaxes35,00010,0007,0005,0004,0002,0001. How much is the total expenses of "Manyaman" Samgy Restaurant?2. What do you think should not be included as expense of "Manyaman" SamgyRestaurant? Why?

= Salary Expense + Rent Expense + Utilities Expense(at the restaurant) +Supplies Expense Taxes =…

Answered: 1. How much is the total expenses of…

1. How much is the total expenses of "Manyaman" Samgy Restaurant? 2. What do you think should not be included as expense of "Manyaman" Samgy Restaurant? Why?

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

May Aman opened a Samgy restaurant called "Manyaman". She opened a bank
account for her business and deposited P200,000. The business earned P70,0000.
Ms Aman is none accounting graduate and doubted with the recorded expenses. She
is not sure if she should include the following items as expenses.
P.
Salary expense
Rent Expense
Utilities expense (at the restaurant)
Utilities expense (at home)
Supplies expense
Taxes
35,000
10,000
7,000
5,000
4,000
2,000
1. How much is the total expenses of "Manyaman" Samgy Restaurant?
2. What do you think should not be included as expense of "Manyaman" Samgy
Restaurant? Why?

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