Part 1 and Part 2 ( Messenger 10:32 AM Mon Sep 6* O 27% OAAcdn.fbsbx.comG journal entry of business transaction - Google SearchEternal-Images.docxJackielyn Magpantay organized Eternal Images, a photography and portrait studio on October 1, 2018.The studio completed the following transactions during the month:October 1Deposited P350,000 in a bank account in the name of the business.3Paid two month's rent deposit and one-month advance, P40,500.Invested to the business personal photography equipment valued at P129,000.7Bought additional photography equipment, P75,000 on account.8.Purchased office equipment for Cash, P54,000.10Received and paid for the photography equipment ordered on October 7, P75,000.12Purchased photography supplies on credit, P21,000.13Received cash for service rendered, P11,400.17Billed customers for portraits, P22,500.19Paid fifty percent of the supplies purchased on October 12, P10,500.25Paid the electricity bill for October, P3,600.26Paid telephone bill for October, P2,100.28Received payments from the customers billed on October 17, P7,500.29Paid salaries to personnel, P12,000.30Received an advance payment from a customer, P1,500.Chart of Accounts- Cash; Accounts Receivable; Prepaid Rent; Supplies; Photography Equipment;Office Equipment; Magpantay Capital; Magpantay Drawings; Accounts Payable; Service Income;Utilities Expense; Communication Expense; Salaries ExpenseRequirements:1. Prepare the journal entries2. Prepare the general ledger3. Prepare the preliminary trial balance Jackielyn Magrantay had the following outstanding balances during the first month of their operation.Cash172,700.00Magpantax Capital(479,000.00)Prepaid Rent40,500.00Photography Equipment204,000.00Accounts Payable(10,500.00)Office Equipment54,000.00Supplies21,000.00Service Income(35,400.00)Accounts Receivable15,000.00Utilities Expense3,600.00Communication Expense2,100.00Salaries Expense12,000.00The business hired an accounting consultant on November 5 for a fee of P45,000. Of the said amount, P15,000 was paid incash while the rest was on account.The following are the recommendations of the accounting consultant:Information related to property, plant and equipment to be depreciated using straight line method. For convenience,non-current assets obtained before 15th of the month will be depreciated as if acquired on the 1" day of the month.Date of AcquisitionCostMappingUseful life (years)Scrap Value10/05/201810/07/2018P129,000Photography Equipment5P9,000P75,000Photography Equipment5P5,00010/08/2018P54,000Office Equipment10NoneEstablish the appropriate account for the deferred income.The following transactions transpired during the month of November:NovemberAll outstanding payable from October 12 has been settled5Billed clients P10,000 for service rendered10Paid P3,000 for refreshments ordered for the visit of the consultant11Received P15,000 from a client for the service performed15Paid P12,000 salaries expense16Collected P5,000 from client on November 5 transaction25Paid half of the amount owed to the accounting consultantMonth-end considerations:Supplies left is approximately P3,500Utilities at month end still unpaid amounted to P2,250Half of the advance collection from client last October 30 is earnedChart of Accounts- Cash; Accounts Receivable; Prepaid Rent; Supplies; Photography Equipment; Office Equipment;Accumulated Depreciation-Photography Equipment; Accumulated Depreciation-Office Equipment; Magrantay Capital;MaRBantax Drawings; Accounts Payable; Accrued Utilities Expense; Accrued Communications Expense Unearned ServiceIncome; Service Income; Utilities Expense; Communication Expense; Salaries Expense; Rent Expense; Supplies Expense;Representation Expense; Depreciation Expense- Photography Equipment; Depreciation Expense- Office EquipmentRequirements:1. Prepare the journal entries2. Prepare the general ledger3. Prepare the preliminary and adjusted trial balance

Journal means the book of prime entry where all entries are recorded in different pages. Ledger…

Jackielyn Magpantay organized Eternal Images, a photography and portrait studio on October 1, 2018. The studio completed the following transactions during the month: October 1 Deposited P350,000 in a bank account in the name of the business. 3 Paid two month's rent deposit and one-month advance, P40,500. Invested to the business personal photography equipment valued at P129,000. 7 Bought additional photography equipment, P75,000 on account. 8. Purchased office equipment for Cash, P54,000. 10 Received and paid for the photography equipment ordered on October 7, P75,000. 12 Purchased photography supplies on credit, P21,000. 13 Received cash for service rendered, P11,400. 17 Billed customers for portraits, P22,500. 19 Paid fifty percent of the supplies purchased on October 12, P10,500. 25 Paid the electricity bill for October, P3,600. 26 Paid telephone bill for October, P2,100. 28 Received payments from the customers billed on October 17, P7,500. 29 Paid salaries to personnel, P12,000. 30 Received an advance payment from a customer, P1,500. Chart of Accounts- Cash; Accounts Receivable; Prepaid Rent; Supplies; Photography Equipment; Office Equipment; Magpantay Capital; Magpantay Drawings; Accounts Payable; Service Income; Utilities Expense; Communication Ex Salaries nse Requirements: 1. Prepare the journal entries 2. Prepare the general ledger 3. Prepare the preliminary trial balance

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q