The following data were made available from a single entry set of books of ABC Trading owned by Juan Abalos and transactions for the current year. January 1 P 900,000 270,000 1,200,000 900,000 30,000 750,000 P4.050,000 December 31 P1,200,000 550,000 1,100,000 750,000 50.000 900,000 P 4.550,000 Assets Cash Notes Receivable Accounts receivable Inventory Prepaid Expense Furniture and Equipment Total Assets Liabilities Notes payable Accounts payable Accrued Expense Interest Payable P 400,000 850.000 P 500,000 710,000 50,000 5,000 20,000 P1,325.000 40,000 15,000 30,000 P1, 295,000 Unearned rent income Total Liabilities The cash record of the current year showed the following information: Receipts: Disbursements P 900,000 Accounts payable P1,200,000 Balance, January 1, Accounts Receivable 2,150,000 Notes payable 950,000 Notes receivable 750,000 Cash purchases 450,000 50,000 Cash Sales 600,000 Interest paid Expense paid Equipment purchased 300,000 Rent collection 150,000 600,000 Sales of equipment costing P150,000 – 50% depreciated Withdrawals 300,000 Additional investment 400,000 P 5,050,000 P 1,200,000 Total Total P3,850,000 Balance, December 31, Additional Information: Sales returns and allowance granted to customers 2. Sales discounts granted to customers 3. Uncollectible accounts written off P175,000 75,000 40,000 50,000 1. 4. Purchase discounts on accounts payable paid Required: Determine the Net income or loss for the year ending December 31, 20CY. b. Compute the gross sales. Compute the total gross purchases. d. Compute the interest expense. Compute the rent income. f. а. C. е. Compute the gain on sale of equipment. g. Compute the expenses Compute the depreciation on furniture and equipment i. h. Prepare the Statement of Comprehensive Income for the year ended December 31, 20CY j. Prepare the Statement of Financial Position as of December 31, 20CY
The following data were made available from a single entry set of books of ABC Trading owned by Juan Abalos and transactions for the current year. January 1 P 900,000 270,000 1,200,000 900,000 30,000 750,000 P4.050,000 December 31 P1,200,000 550,000 1,100,000 750,000 50.000 900,000 P 4.550,000 Assets Cash Notes Receivable Accounts receivable Inventory Prepaid Expense Furniture and Equipment Total Assets Liabilities Notes payable Accounts payable Accrued Expense Interest Payable P 400,000 850.000 P 500,000 710,000 50,000 5,000 20,000 P1,325.000 40,000 15,000 30,000 P1, 295,000 Unearned rent income Total Liabilities The cash record of the current year showed the following information: Receipts: Disbursements P 900,000 Accounts payable P1,200,000 Balance, January 1, Accounts Receivable 2,150,000 Notes payable 950,000 Notes receivable 750,000 Cash purchases 450,000 50,000 Cash Sales 600,000 Interest paid Expense paid Equipment purchased 300,000 Rent collection 150,000 600,000 Sales of equipment costing P150,000 – 50% depreciated Withdrawals 300,000 Additional investment 400,000 P 5,050,000 P 1,200,000 Total Total P3,850,000 Balance, December 31, Additional Information: Sales returns and allowance granted to customers 2. Sales discounts granted to customers 3. Uncollectible accounts written off P175,000 75,000 40,000 50,000 1. 4. Purchase discounts on accounts payable paid Required: Determine the Net income or loss for the year ending December 31, 20CY. b. Compute the gross sales. Compute the total gross purchases. d. Compute the interest expense. Compute the rent income. f. а. C. е. Compute the gain on sale of equipment. g. Compute the expenses Compute the depreciation on furniture and equipment i. h. Prepare the Statement of Comprehensive Income for the year ended December 31, 20CY j. Prepare the Statement of Financial Position as of December 31, 20CY
Financial Accounting
15th Edition
ISBN:9781337272124
Author:Carl Warren, James M. Reeve, Jonathan Duchac
Publisher:Carl Warren, James M. Reeve, Jonathan Duchac
Chapter6: Accounting For Merchandising Businesses
Section: Chapter Questions
Problem 5PA: The following selected accounts and their current balances appear in the ledger of Clairemont Co....
Related questions
Question
Topic: Single entry
Requirement a, b, c, d only
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 2 steps
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
Financial Accounting
Accounting
ISBN:
9781337272124
Author:
Carl Warren, James M. Reeve, Jonathan Duchac
Publisher:
Cengage Learning
Survey of Accounting (Accounting I)
Accounting
ISBN:
9781305961883
Author:
Carl Warren
Publisher:
Cengage Learning
College Accounting, Chapters 1-27
Accounting
ISBN:
9781337794756
Author:
HEINTZ, James A.
Publisher:
Cengage Learning,
Financial Accounting
Accounting
ISBN:
9781337272124
Author:
Carl Warren, James M. Reeve, Jonathan Duchac
Publisher:
Cengage Learning
Survey of Accounting (Accounting I)
Accounting
ISBN:
9781305961883
Author:
Carl Warren
Publisher:
Cengage Learning
College Accounting, Chapters 1-27
Accounting
ISBN:
9781337794756
Author:
HEINTZ, James A.
Publisher:
Cengage Learning,
Business/Professional Ethics Directors/Executives…
Accounting
ISBN:
9781337485913
Author:
BROOKS
Publisher:
Cengage