At the start of the year, A. Acson, O. Opao and M. Yasuda Service Firms, each had P75,000 of supplies on hand. The three companies use different accounting procedures for recording supplies. Acson and M. Yasuda show the beginning balance in the Supplies on Hand account but O. Opao reflects the beginning balance in the Supplies Expense account. A. Acson debits the account Supplies on Hand when supplies are acquired, while O. Opao and M. Yasuda follow the policy of debiting Supplies Expense upon acquisition. Each of the tree companies acquired P452,000 of supplies at various times throughout the year, and each has P96,000 of supplies on hand at year-end. Required: Prepare adjusting entries for each entity.

Name: At the start of the year, A. Acson, O. Opao and M. Yasuda Service Firm
Uploaded: 2024-03-04T10:43:15.000Z
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Description: At the start of the year, A. Acson, O. Opao and M. Yasuda Service Firms, each had P75,000 of supplies on hand. The three companies use different accounting procedures for recording supplies. Acson and M. Yasuda show the beginning balance in the Suppl

Adjusting entries are those entries which are recorded at the end of the accounting period in order…

Answered: At the start of the year, A. Acson, O.…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

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At the start of the year, A. Acson, O. Opao and M. Yasuda Service Firms, each had P75,000 of supplies on hand. The three companies use different accounting procedures for recording supplies.

Acson and M. Yasuda show the beginning balance in the Supplies on Hand account but O. Opao reflects the beginning balance in the Supplies Expense account. A. Acson debits the account Supplies on Hand when supplies are acquired, while O. Opao and M. Yasuda follow the policy of debiting Supplies Expense upon acquisition. Each of the tree companies acquired P452,000 of supplies at various times throughout the year, and each has P96,000 of supplies on hand at year-end.

Required:

Prepare adjusting entries for each entity.

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