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Ledger account (strictly with date)

Ledger account (strictly with date)

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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REQUIRED: • Ledger account (strictly with date)
PROBLEM On January 1 of the current year, Juan David opened the " J.D Men's Wear Shop", and during the month, the following transactions were completed: Jan. 1 Juan David invested cash P 80,000 in the business. He bought two sewing machines amounting P 30,000 each from Patio Merchandising, the he gave P15,000 down and the balance is payable within 60 days. Paid a three month rental of the shop, P30,000. This was charged to 1 1 prepaid Rent account. 1 Paid a one year insurance policy, P 5,700. Bought sewing tools P 5,900 and sewing supplies P 2,700 from Jomar 3 Trading on credit. Received P 1,200 from customer for a short delivered. Billed to Maricris Acosta, P 5,000 for two-pair of pants and polo barong 7 delivered. 10 Purchased clothing materials from Baclaran Market and paid P 15,000 cash. 13 Received P 12,500 from various customers for pants and barong made and delivered. 14 Gave Patio Merchandising P 15,000 and issued a 60-day, 6% note for the balance. 15 Paid the wages of the shop helper, P 2,500. Juan David withdrew P 5,000 for his personal use. 17 18 M. Acosta gave P 2,000 as partial payment of his account. Received P 14,750 from various customers pants and shirts delivered. Paid the wages of the shop helper, P 2,500. 20 22 23 Billed Joevanie Garcia P 4,000 for barong and pants delivered t him. Paid the following monthly expenses: utility bills, P 1,500; telephone bill, P 27 2,500. At the end of accounting period, the following data were taken: 1. The sewing machines are estimated to have a 5-year useful life. 2. The actual count of sewing supplies revealed a balance ofP 1,700. 3. The business is conservative to estimate a 5% of the receivables to be uncollected. 4. Balance of the clothing materials account is P 7,000.
Transcribed Image Text:PROBLEM On January 1 of the current year, Juan David opened the " J.D Men's Wear Shop", and during the month, the following transactions were completed: Jan. 1 Juan David invested cash P 80,000 in the business. He bought two sewing machines amounting P 30,000 each from Patio Merchandising, the he gave P15,000 down and the balance is payable within 60 days. Paid a three month rental of the shop, P30,000. This was charged to 1 1 prepaid Rent account. 1 Paid a one year insurance policy, P 5,700. Bought sewing tools P 5,900 and sewing supplies P 2,700 from Jomar 3 Trading on credit. Received P 1,200 from customer for a short delivered. Billed to Maricris Acosta, P 5,000 for two-pair of pants and polo barong 7 delivered. 10 Purchased clothing materials from Baclaran Market and paid P 15,000 cash. 13 Received P 12,500 from various customers for pants and barong made and delivered. 14 Gave Patio Merchandising P 15,000 and issued a 60-day, 6% note for the balance. 15 Paid the wages of the shop helper, P 2,500. Juan David withdrew P 5,000 for his personal use. 17 18 M. Acosta gave P 2,000 as partial payment of his account. Received P 14,750 from various customers pants and shirts delivered. Paid the wages of the shop helper, P 2,500. 20 22 23 Billed Joevanie Garcia P 4,000 for barong and pants delivered t him. Paid the following monthly expenses: utility bills, P 1,500; telephone bill, P 27 2,500. At the end of accounting period, the following data were taken: 1. The sewing machines are estimated to have a 5-year useful life. 2. The actual count of sewing supplies revealed a balance ofP 1,700. 3. The business is conservative to estimate a 5% of the receivables to be uncollected. 4. Balance of the clothing materials account is P 7,000.
Chart of Accounts Assets Owner's Equity 301 J. David, Capital 302 J. David, Drawing 101 Cash 102 Accounts Receivable 103a Allowance for Bad Debts 303 Income and Expenses Summary 104 Sewing Supplies Clothing Materials Prepaid Rent Prepaid Insurance Sewing Tools Sewing Equipment 110a Accumulated Depreciation- 105 106 Income 107 401 Service Income 108 109 Expenses 501 Wages 502 Utility Expense 503 Insurance Expense 504 Telephone and Communication Sewing Equipment Expense 505 Sewing Supplies Used Liabilities 506 Clothing Materials Used Accounts Payable Notes Payable Accrued Interest Expense 201 507 Rent Expense 202 508 Interest Expense 203 509 Depreciation-Sewing Equiptment 510 Bad Debts
Transcribed Image Text:Chart of Accounts Assets Owner's Equity 301 J. David, Capital 302 J. David, Drawing 101 Cash 102 Accounts Receivable 103a Allowance for Bad Debts 303 Income and Expenses Summary 104 Sewing Supplies Clothing Materials Prepaid Rent Prepaid Insurance Sewing Tools Sewing Equipment 110a Accumulated Depreciation- 105 106 Income 107 401 Service Income 108 109 Expenses 501 Wages 502 Utility Expense 503 Insurance Expense 504 Telephone and Communication Sewing Equipment Expense 505 Sewing Supplies Used Liabilities 506 Clothing Materials Used Accounts Payable Notes Payable Accrued Interest Expense 201 507 Rent Expense 202 508 Interest Expense 203 509 Depreciation-Sewing Equiptment 510 Bad Debts
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