Listed below are six transactions for TUV Company during its first month of operations: 1. Owner invested cash in the business amounting to P300,000. 2. Purchased equipment for cash amounting to P 50,000.00 3. Purchased inventories through credit amounting to P35,000. 4. Purchased furniture amounting to P30.000. Made partial payment with cash, 10,000 and incurred an accounts payable for the balance, P 20,000. 5. Paid the accounts payable in item# 4. 6. Bought supplies in cash for P12,000. Indicate the effects of the giiven transactions on each of the financial statement| elements in the table shown below. The answer for no. 1 is given as an example: Assets- Liabilities. Equity 1.P 300,000 P 300,00O 2. 4. 6. Raference orendo Joseito .(201e) Fundamentale of Accountancy, Busrness and Management , Rax Bookstore

Listed below are six transactions for TUV Company during its first month of operations: 1. Owner invested cash in the business amounting to P300,000. 2. Purchased equipment for cash amounting to P 50,000.00 3. Purchased inventories through credit amounting to P35,000. 4. Purchased furniture amounting to P30.000. Made partial payment with cash, 10,000 and incurred an accounts payable for the balance, P 20,000. 5. Paid the accounts payable in item# 4. 6. Bought supplies in cash for P12,000. Indicate the effects of the giiven transactions on each of the financial statement| elements in the table shown below. The answer for no. 1 is given as an example: Assets- Liabilities. Equity 1.P 300,000 P 300,00O 2. 4. 6. Raference orendo Joseito .(201e) Fundamentale of Accountancy, Busrness and Management , Rax Bookstore

Cornerstones of Financial Accounting

4th Edition

ISBN:9781337690881

Author:Jay Rich, Jeff Jones

Publisher:Jay Rich, Jeff Jones

Chapter11: The Statement Of Cash Flows

Section: Chapter Questions

Problem 38E: Analyzing the Accounts The controller for Summit Sales Inc. provides the following information on...

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Ex. ABC has a $150,000 opening balance in its accounts receivable and a $15,000opening balance in AFDA. During the year, ABC sells $500,000 of merchandise on accountand another $200,000 for cash. During the year, ABC collects $380,000 of accountsreceivable, writes off $28,000 of accounts receivable and reinstates $5,000 of thepreviously written off accounts receivable.INSTRUCTIONS: 1. Prepare journal entries for the above transactions. 2. Calculate the balances of Accounts Receivable and AFDA. Indicate whether it's a debit balance or credit balance. 3. If ABC estimates its bad debt expense as 1% of credit sales, prepare the year end adjusting entry.4. If ABC estimates its bad debt expense as 5% of A/R, prepare the year end adjusting entry5. Calculate the ending balance of AFDA for #3 and #4.
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On January 1, 2025, the ledger of Sunland Company contained these liability accounts. Accounts Payable $43,300 Sales Taxes Payable 7,400 Unearned Service Revenue 19,800 During January, the following selected transactions occurred. Jan. 1 Borrowed $18,000 in cash from Apex Bank on a 4-month, 5%, $18,000 note. 5 Sold merchandise for cash totaling $5,512, which includes 6% sales taxes. 12 Performed services for customers who had made advance payments of $11,800. (Credit Service Revenue.) 14 Paid state treasurer's department for sales taxes collected in December 2024, $7,400. 20 Sold 580 units of a new product on credit at $48 per unit, plus 5% sales tax. During January, the company's employees earned wages of $82,000. Withholdings related to these wages were $6,273 for FICA $5,057 for federal income tax, and $1,517 for state income tax. The company owed no money related to these earnings for federal or state unemployment tax. Assume that wages earned during January will be paid during…
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The following items were selected from among the transactions completed by Shin Co. during the current year: Jan. 10 Purchased merchandise on account from Beckham Co., $420,000, terms n/30. Feb. 9 Issued a 30-day, 6% note for $420,000 to Beckham Co., on account. Mar. 11 Paid Beckham Co. the amount owed on the note of February 9. May 1 Borrowed $240,000 from Verity Bank, issuing a 45-day, 5% note. June 1 Purchased tools by issuing a $312,000, 60-day note to Rassmuessen Co., which discounted the note at the rate of 5%. 15 Paid Verity Bank the interest due on the note of May 1 and renewed the loan by issuing a new 45-day, 7% note for $240,000. (Journalize both the debit and credit to the notes payable account.) July 30 Paid Verity Bank the amount due on the note of June 15. 30 Paid Rassmuessen Co. the amount due on the note of June 1. Dec. 1 Purchased office equipment from Lambert Co. for $700,500 paying $160,500 and issuing a series of ten 5% notes for $54,000…
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