Selected accounts from the ledger of Phillips Company appear below. For each account, indicate the following: (a) In the first column at the right, indicate the nature of each account, using the following abbreviations: Asset - A Revenue - R Liability - L Expense - E None of the above - N (b) In the second column, indicate the increase side of each account by inserting Dr. or Cr. Account Type of Account Increase Side (1) Supplies _______ ________ (2) Notes Receivable _______ ________ (3) Fees Earned _______ ________ (4) Drawings _______ ________ (5) Accounts Payable _______ ________ (6) Salaries Expense _______ ________ (7) Capital _______ ________ (8) Accounts Receivable _______ ________ (9) Equipment _______ ________ (10) Notes Payable _______ ________
PROBLEM
- Selected accounts from the ledger of Phillips Company appear below. For each account, indicate the following:
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(a) |
In the first column at the right, indicate the nature of each account, using the following abbreviations: |
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Asset - A |
Revenue - R |
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Liability - L |
Expense - E |
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None of the above - N |
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(b) |
In the second column, indicate the increase side of each account by inserting Dr. or Cr. |
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Account |
Type of Account |
Increase Side |
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(1) |
Supplies |
_______ |
________ |
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(2) |
Notes Receivable |
_______ |
________ |
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(3) |
Fees Earned |
_______ |
________ |
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(4) |
Drawings |
_______ |
________ |
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(5) |
Accounts Payable |
_______ |
________ |
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(6) |
Salaries Expense |
_______ |
________ |
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(7) |
Capital |
_______ |
________ |
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(8) |
|
_______ |
________ |
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(9) |
Equipment |
_______ |
________ |
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(10) |
Notes Payable |
_______ |
________ |
- Calculate the following.
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(a) |
Determine the cash receipts for June based on the following data: |
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Cash payments during June |
P52,500 |
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Cash account balance, June 1 |
5,750 |
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Cash account balance, June 30 |
6,250 |
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(b) |
Determine the cash received from customers on account during June based on the following data: |
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Accounts receivable account balance, June 1 |
P12,100 |
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Accounts receivable account balance, June 30 |
10,000 |
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Fees billed to customers during June |
30,000 |
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