a. Mr. Apollo established an accounting tutorial service business and had invested P90,000 cash of his personal money into the business. b. Borrowed P100,000 from BPI payable after 2 years. The company issued a note to the bank. c. Purchased tables and chairs for cash, P45,000. d. Paid rent for the office, P8,000. e. Purchased additional tables and chairs from Moon Furniture on account, P20,000. f. Received cash for tutorial services rendered, P75,000. g. Paid employees' salaries, P30,000. h. Paid Moon Furniture for the additional tables and chairs previously purchased on account P10,000. i. Paid water and electricity bill, P4,500. j. Rendered tutorial services to students on account, P55,000. k. Mr. Apollo withdrew cash for personal use, P15,000. 1. Collected from customers for the tutorial services previously rendered on account, P37,000. REQUIRED: Show the effect of these transactions on the accounting equation by completing the table below. Identify each owner's equity transaction:
a. Mr. Apollo established an accounting tutorial service business and had invested P90,000 cash of his personal money into the business. b. Borrowed P100,000 from BPI payable after 2 years. The company issued a note to the bank. c. Purchased tables and chairs for cash, P45,000. d. Paid rent for the office, P8,000. e. Purchased additional tables and chairs from Moon Furniture on account, P20,000. f. Received cash for tutorial services rendered, P75,000. g. Paid employees' salaries, P30,000. h. Paid Moon Furniture for the additional tables and chairs previously purchased on account P10,000. i. Paid water and electricity bill, P4,500. j. Rendered tutorial services to students on account, P55,000. k. Mr. Apollo withdrew cash for personal use, P15,000. 1. Collected from customers for the tutorial services previously rendered on account, P37,000. REQUIRED: Show the effect of these transactions on the accounting equation by completing the table below. Identify each owner's equity transaction:
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Show complete formula and Solution.
Transcribed Image Text:Mr. Apollo established an accounting tutorial service business and had invested P90,000 cash of
his personal money into the business.
b. Borrowed P100,000 from BPI payable after 2 years. The company issued a note to the bank.
c. Purchased tables and chairs for cash, P45,000.
d. Paid rent for the office, P8,000.
a.
e. Purchased additional tables and chairs from Moon Furniture on account, P20,000.
Received cash for tutorial services rendered, P75,000.
f.
g. Paid employees' salaries, P30,000.
h. Paid Moon Furniture for the additional tables and chairs previously purchased on account
P10,000.
Paid water and electricity bill, P4,500.
j. Rendered tutorial services to students on account, P55,000.
k. Mr. Apollo withdrew cash for personal use, P15,000.
Collected from customers for the tutorial services previously rendered on account, P37,000.
i.
I.
REQUIRED: Show the effect of these transactions on the accounting equation by completing the table
below. Identify each owner's equity transaction:
Asset
= Liabilities
+ Capital
Apollo,
Сapital
Cash
Accounts
Furniture and
Accounts
Note
Type of Owner's Equity
Receivable
Fixtures
Payable
Payable
Transaction
a
e
2/3
k
Bal
Total
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 2 steps with 1 images
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education