XYZ Corporation is authorized to issue 150,000 ordinary shares with par of P150. On June 1 eight incorporators have subscribed to 40,000 shares (5,000 shares each), each of them paying an equal amount for a total sum of P2,000,000. Immediately, P1,500,000 was paid to a contractor for the renovation of the office and store which is expected to be done by the 16th of June. It was decided that full month's depreciation will be charged for all depreciable assets acquired or procured this month and they should have a life of 10 years June 2 - 2100 shares were issued for P480,000. On the same day, the firm bought P850,000-vehicle. June 3 - P20,000 worth of supplies were purchased June 4 - Merchandise worth P520,000 was purchased on credit from V Goods. June 5 - The receivable on subscription from 5 of the incorporators was fully paid. June 10 - Goods worth P270,000 were sold for 50% mark-up. The firm received 80% of the total price, the balance will be settled in 30 days. June 12 - Several office equipment were purchased for a total sum of P1,760,000. June 15 - P18,000 was paid for year's insurance cover. June 16 - Three employees with a monthly rate of P12,000 each were paid their salaries. Salary is credited to employees' bank accounts a day after the 15th and end of the month. June 18 - Sold 150,000 worth of merchandise, extending an outright 10% discount as a policy for cash sales, receiving a check for the entire amount. June 20 - A summary of fuel receipts amounted to P2,755. June 25 - The firm received P750,000 worth of merchandise from V.Goods, while issuing a check for the June 4 purchase. V.Goods agreed to receive payment for the second delivery 10 days after the end of the month. June 26 - Sold P250,000 worth of goods for cash June 30 - Received utility bills amounting to P15,000, due day is July 10. Required: 1) Record the transactions until June 30 2) Prepare the adjusting entries
XYZ Corporation is authorized to issue 150,000 ordinary shares with par of P150. On June 1 eight incorporators have subscribed to 40,000 shares (5,000 shares each), each of them paying an equal amount for a total sum of P2,000,000. Immediately, P1,500,000 was paid to a contractor for the renovation of the office and store which is expected to be done by the 16th of June. It was decided that full month's
June 2 - 2100 shares were issued for P480,000. On the same day, the firm bought P850,000-vehicle.
June 3 - P20,000 worth of supplies were purchased
June 4 - Merchandise worth P520,000 was purchased on credit from V Goods.
June 5 - The receivable on subscription from 5 of the incorporators was fully paid.
June 10 - Goods worth P270,000 were sold for 50% mark-up. The firm received 80% of the total price, the balance will be settled in 30 days.
June 12 - Several office equipment were purchased for a total sum of P1,760,000.
June 15 - P18,000 was paid for year's insurance cover.
June 16 - Three employees with a monthly rate of P12,000 each were paid their salaries. Salary is credited to employees' bank accounts a day after the 15th and end of the month.
June 18 - Sold 150,000 worth of merchandise, extending an outright 10% discount as a policy for cash sales, receiving a check for the entire amount.
June 20 - A summary of fuel receipts amounted to P2,755.
June 25 - The firm received P750,000 worth of merchandise from V.Goods, while issuing a check for the June 4 purchase. V.Goods agreed to receive payment for the second delivery 10 days after the end of the month.
June 26 - Sold P250,000 worth of goods for cash
June 30 - Received utility bills amounting to P15,000, due day is July 10.
Required:
1) Record the transactions until June 30
2) Prepare the
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