The trial balance of Winston Corporation Home Office and its branch on December 31, 2014 is given as follows: Debits WINSTON CORPORATION Trial Balance December 31, 2014 Cash Accounts receivable Inventory, January 1, 2014 Investment in branch Equipment (net) Purchases Shipments from home office Expenses Totals Home office P 30,000 45,000 37,500 60,000 75,000 450,000 Branch P 6,000 24,000 15,000 120,000 75,000 15,000 P772,500 P180,000
The trial balance of Winston Corporation Home Office and its branch on December 31, 2014 is given as follows: Debits WINSTON CORPORATION Trial Balance December 31, 2014 Cash Accounts receivable Inventory, January 1, 2014 Investment in branch Equipment (net) Purchases Shipments from home office Expenses Totals Home office P 30,000 45,000 37,500 60,000 75,000 450,000 Branch P 6,000 24,000 15,000 120,000 75,000 15,000 P772,500 P180,000
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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![Problem 8-5
The trial balance of Winston Corporation Home Office and its branch on December 31,
2014 is given as follows:
Debits
WINSTON CORPORATION
Trial Balance
December 31, 2014
Cash
Accounts receivable
Inventory, January 1, 2014
Investment in branch
Equipment (net)
Purchases
Shipments from home office
Expenses
Totals
Home office
P 30,000
45,000
37,500
60,000
75,000
450,000
Branch
P 6,000
24,000
15,000
120,000
75,000
15,000
P772,500 P180,000](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Ff6be3d30-3d01-4d2a-b677-f2dab1cd2761%2F72731cd4-9ff9-46e9-937a-323b1ec15b31%2Ftxn57mn3_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Problem 8-5
The trial balance of Winston Corporation Home Office and its branch on December 31,
2014 is given as follows:
Debits
WINSTON CORPORATION
Trial Balance
December 31, 2014
Cash
Accounts receivable
Inventory, January 1, 2014
Investment in branch
Equipment (net)
Purchases
Shipments from home office
Expenses
Totals
Home office
P 30,000
45,000
37,500
60,000
75,000
450,000
Branch
P 6,000
24,000
15,000
120,000
75,000
15,000
P772,500 P180,000
![Credits
Accounts payable
Home office equity
Share capital
Retained earnings, January 1, 2014
Sales
Shipments to branch
Totals
Inventory, December 31, 2014
Required:
VISHIN
P 22,500
45,000
120,000
465,000
120,000
P772,500
P 90,000
d. Prepare the statement of profit or loss for the home office.
P 3,000
60,000
117,000
P180,000
P 60,000](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Ff6be3d30-3d01-4d2a-b677-f2dab1cd2761%2F72731cd4-9ff9-46e9-937a-323b1ec15b31%2Ffq45uwt_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Credits
Accounts payable
Home office equity
Share capital
Retained earnings, January 1, 2014
Sales
Shipments to branch
Totals
Inventory, December 31, 2014
Required:
VISHIN
P 22,500
45,000
120,000
465,000
120,000
P772,500
P 90,000
d. Prepare the statement of profit or loss for the home office.
P 3,000
60,000
117,000
P180,000
P 60,000
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