Prepare the journal entry to record the following independent transactions: 1. Siopao Queen paid its P1,390 electric bill for the month. 2. Friendly Store sold for cash, P4,5000 worth of merchandise. The cost of goods sold is P2,300. The company uses perpetual inventory system. 3. Waldo Merchandising purchased on account P23,000 goods for resale from Melody Inc. The company uses periodic inventory system. 4. Butch Auto Repair purchased a building for his business at a cost of P500,000. Butch paid P300,000 and for the balance he issued a promissory note payable 60 days after. 5. Seth Laundry Company paid advertising contract for one month, P2,000.

Prepare the journal entry to record the following independent transactions: 1. Siopao Queen paid its P1,390 electric bill for the month. 2. Friendly Store sold for cash, P4,5000 worth of merchandise. The cost of goods sold is P2,300. The company uses perpetual inventory system. 3. Waldo Merchandising purchased on account P23,000 goods for resale from Melody Inc. The company uses periodic inventory system. 4. Butch Auto Repair purchased a building for his business at a cost of P500,000. Butch paid P300,000 and for the balance he issued a promissory note payable 60 days after. 5. Seth Laundry Company paid advertising contract for one month, P2,000.

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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