ACTIVITY. On February 1, 20A4, Mira Delamar opened a store that sells school supplies. Mira wanted to know the results of opening the store. Mira knew you were studying accounting so she asked for your help. The following were taken from the accounting records of Mira’s Store. Balance Debit Credit Sales ₱114,567

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
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Chapter1: Financial Statements And Business Decisions
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ACTIVITY. On February 1, 20A4, Mira Delamar opened a store that sells school supplies. Mira wanted to know the results of opening the store. Mira knew you were studying accounting so she asked for your help. The following were taken from the accounting records of Mira’s Store. Balance Debit Credit Sales ₱114,567 Sales return 1,544 Sales discount 1,675 Purchases 61,558 Purchase return 504 Purchase discount 1,076 Freight-in 765 Utilities expense 4,000 Salaries Expense 14,000 Rent expense 10,000 Depreciation 500 Additional Information: a. Physical inventory conducted at the end of the year revealed an ending inventory of ₱15,345. b. Depreciation is for shelves and cabinets used as displays racks and storage in the store. c. Mira has a small office inside the store. Allocate 15% of rent and utilities to general administrative expense. d. 25% of Emily’s Salaries are allocated to General and Administrative Expense. Aside from tending the store, she was also tasked to file receipts and maintain some records. Requirements: 1. All accounts above have normal balances. Indicate whether the above accounts have debit or credit balances. 2. Prepare the year ended SCI using the single-step approach. 3. Perform vertical analysis for 2020 SCL

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