Direction: Analyze and answer the following problems provided below. Problem 1. The Family Clinic is owned and operated by Dr. Galing. Dr. Galing has the following assets and liabilities when he started the clinic on July 1: Cash P 54,200 , Medical Supplies P 3,850, Medical Equipment P 75,000, Accounts Payable on Medical Equipment P 25,000. His business transactions during July are the following a. Received cash from patient for services performed, P 40,000 b. Paid amounts owed for medical equipment, P 15,000 c. Paid Office Rent for the month, P 15,000 d. Charged patients for services performed, P 8,025 e. Received cash from account patients P 10,000 for Medical Services of P 20,000 f. Purchased medical supplies on account, P 12,450 g. Received cash from patients for amounts owing, P 13,000 h. Paid the following: Salaries expense P 850, Repair Service Expense, P 250, Utilities Expense P 400 i. Cost of medical supplies used was P 3,980 i. Dr. Galing withdrew P 10,000 in cash from the clinic for personal use Required: a. Determine the amount of owner's equity (capital) as of July 1 of the current year. b. Using the Happy Tour format, copy the starting balances, analyze the above transactions and determine the balances. Prove total amounts using the accounting equation. C. Prepare a statement of Income for July and a statement of financial position as of July 31 d. Get the totals and prove the accounting equation. e. How much is the cash? 0000 dd n
Direction: Analyze and answer the following problems provided below. Problem 1. The Family Clinic is owned and operated by Dr. Galing. Dr. Galing has the following assets and liabilities when he started the clinic on July 1: Cash P 54,200 , Medical Supplies P 3,850, Medical Equipment P 75,000, Accounts Payable on Medical Equipment P 25,000. His business transactions during July are the following a. Received cash from patient for services performed, P 40,000 b. Paid amounts owed for medical equipment, P 15,000 c. Paid Office Rent for the month, P 15,000 d. Charged patients for services performed, P 8,025 e. Received cash from account patients P 10,000 for Medical Services of P 20,000 f. Purchased medical supplies on account, P 12,450 g. Received cash from patients for amounts owing, P 13,000 h. Paid the following: Salaries expense P 850, Repair Service Expense, P 250, Utilities Expense P 400 i. Cost of medical supplies used was P 3,980 i. Dr. Galing withdrew P 10,000 in cash from the clinic for personal use Required: a. Determine the amount of owner's equity (capital) as of July 1 of the current year. b. Using the Happy Tour format, copy the starting balances, analyze the above transactions and determine the balances. Prove total amounts using the accounting equation. C. Prepare a statement of Income for July and a statement of financial position as of July 31 d. Get the totals and prove the accounting equation. e. How much is the cash? 0000 dd n
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Topic Video
Question
Transcribed Image Text:48
MGMT 101a: Principles of Accounting I
Learning Tasks/Activities
Direction: Analyze and answer the following problems provided below.
Problem 1. The Family Clinic is owned and operated by Dr. Galing. Dr. Galing
has the following assets and liabilities when he started the clinic on July 1:
Cash P 54,200 , Medical Supplies P 3,850, Medical Equipment P 75,000,
Accounts Payable on Medical Equipment P 25,000. His business transactions
during July are the following
a. Received cash from patient for services performed, P 40,000
b. Paid amounts owed for medical equipment, P 15,000
c. Paid Office Rent for the month, P 15,000
d. Charged patients for services performed, P 8,025
e. Received cash from account patients P 10,000 for Medical Services of
P 20,000
f. Purchased medical supplies on account, P 12,450
a. Received cash from patients for amounts owing, P 13,000
h. Paid the following: Salaries expense P 850, Repair Service Expense, P
250, Utilities Expense P 400
i Cost of medical supplies used was P 3,980
i. Dr. Galing withdrew P 10,000 in cash from the clinic for personal use
j.
Required:
a. Determine the amount of owner's equity (capital) as of July 1 of the
current year.
b. Using the Happy Tour format, copy the starting balances, analyze the
above transactions and determine the balances. Prove total amounts
using the accounting equation.
C. Prepare a statement of Income for July and a statement of financial
position as of July 31
d. Get the totals and prove the accounting equation.
e. How much is the cash?
2020.11.20 01:23
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 2 steps with 4 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