Name of Student: Jean Angela A. Labitoria Grade: 12 Section: ABM Guanzon .

Module in (Name of Subject): Business Finance Quarter: 1st .

Pre Test
I. TRUE or FALSE
1. True
2. False
3. True
4. True
5. True
6. True
7. False
8. True
9. False
10. False

Review
1. False
2. False
3. True
4. True
5. True
 Problem 1: Annie Santos - AS Rentals

AS Rentals
General Journal PAGE 1
DATE
2018 ACCOUNT TITLES AND EXPLANATION P.R. DEBIT CREDIT
Sept. 1 Cash 8 0 0 0 0
A.Santos, Capital 8 0 0 0 0
Initial Investment

1 Rental Equipment 1 8 0 0 0 0
Cash 7 0 0 0 0
Notes Payable 1 1 0 0 0 0
Purchased equipment on cash and issued a note

1 Prepaid Rent 9 0 0 0
Cash 9 0 0 0
Payment of three-month rent in advance

4 Office Supplies 1 6 3 0
Accounts Payable 1 6 3 0
Purchased office supplies on account, n/30

5 Cash 1 0 0 0 0
Unearned Rental Fees 1 0 0 0 0
Received cash in advance on equipment rental

12 Salaries Expense 3 6 0 0
Cash 3 6 0 0
Paid salaries

15 Cash 6 8 0 0
Accounts Receivable 1 3 0 0
Rental fees earned 8 1 0 0
Earned Rental fees with cash and billed from
customers
17 Maintenance Expense 3 4 0
Accounts Payable 3 4 0
Purchased supplies on account

23 Cash 2 1 0
Accounts receivable 2 1 0
Collected accounts receivable, September 15

25
NO ENTRY

26 Salaries Expense 3 6 0 0
Cash 3 6 0 0
Paid biweekly salaries

27 Accounts Payable 3 4 0
Cash 3 4 0
Paid accounts payable

28 A. Santos, Drawings 2 0 0 0
Cash 2 0 0 0
Withdrawal for personal use

29 NO ENTRY

29 Unexpected Insurance 2 7 0 0
Cash 2 7 0 0
Purchased 12-month public-liability insurance

30 Utilities Expense 2 7 0
Accounts Payable 2 7 0
Received a bill from Global utilities, n/30

30 Cash 8 4 5 0
Rental fees earned 8 4 5 0
Earned rental fees with cash
 AS Rentals
General Ledger
Account Name: Cash Account No.
Date
2018
Explanation J.R. Debit Credit Balance
Sept. 1 J1 80,000 80,000
1 J1 70,000 10,000
1 J1 9,000 1,000
5 J1 10,000 11,000
12 J1 3,600 7,400
15 J1 6,800 14,200
23 J1 210 14,410
26 J1 3,600 10,810
27 J1 340 10,470
28 J1 2,000 8,470
29 J1 2,700 5,770
30 J1 8,450 14,220

Account Name: Accounts Receivable Account No.

Date
2018
Explanation J.R. Debit Credit Balance
Sept. 15 J1 1,300 1,300
23 J1 210 1,090

Account Name: Prepaid Rent Account No.

Date
2018
Explanation J.R. Debit Credit Balance
Sept. 1 J1 9,000 9,000

Account Name: Unexpected Insurance Account No.

Date
2018
Explanation J.R. Debit Credit Balance
Sept. 29 J1 2,700 2,700

Account Name: Office Supplies Account No.

Date
2018
Explanation J.R. Debit Credit Balance
Sept. 4 J1 1,630 1,630
Account Name: Rental Equipment Account No.
Date
2018
Explanation J.R. Debit Credit Balance
Sept. 1 J1 180,000 180,000

Account Name: Notes Payable Account No.

Date
2018
Explanation J.R. Debit Credit Balance
Sept. 1 J1 110,000 110,000

Account Name: Accounts Payable Account No.

Date
2018
Explanation J.R. Debit Credit Balance
Sept. 4 J1 1,630 1,630
17 J1 340 1,970
27 J1 340 1,630
Sept. 30 J1 270 1,900

Account Name: Unearned Rental Fees Account No.

Date
2018
Explanation J.R. Debit Credit Balance
Sept. 5 J1 10,000 10,000

Account Name: A. Santos, Capital Account No.

Date
2018
Explanation J.R. Debit Credit Balance
Sept. 1 J1 80,000 80,000

Account Name: A. Santos, Drawings Account No.

Date
2018
Explanation J.R. Debit Credit Balance
Sept. 28 J1 2,000 2,000

Account Name: Rental Fees Earned Account No.

Date
2018
Explanation J.R. Debit Credit Balance
Sept. 15 J1 8,100 8,100
30 J1 8,450 16,550
Account Name: Salaries Expense Account No.
Date
2018
Explanation J.R. Debit Credit Balance
Sept. 12 J1 3,600 3,600
26 J1 3,600 7,200

Account Name: Utilities Expense Account No.

Date
2018
Explanation J.R. Debit Credit Balance
Sept. 30 J1 270 270

Account Name: Maintenance Expense Account No.

Date
2018
Explanation J.R. Debit Credit Balance
Sept. 17 J1 340 340
 AS Rentals
Adjusting Entry PAGE 2
DATE
2018 ACCOUNT TITLES AND EXPLANATION P.R. DEBIT CREDIT
Sept. 30 Rent Expense 3 0 0 0
Prepaid Rent 3 0 0 0
Payment of three-month rent in advance

(b) 30 Interest Expense 8 2 5

Interest Payable 8 2 5
Interest accrued on notes payable

(c) 30 Depreciation expense 1 5 0 0

Accumulated depreciation – rental equipment 1 5 0 0
To record accumulated depreciation

(d) 30 Office Supplies expence 5 3 0

Office supplies 5 3 0
To record used supplies

(e) 30 Unearned rental fees 4 8 4 0

Rental fees earned 4 8 4 0
Service rendered for advance payment, Dec. 8

(f) 30 Accounts Receivable 5 0 0

Rental fees earned 5 0 0
Received payment for rental of equipment

(g) 30 Salaries Expense 9 0 0

Salaries Payable 9 0 0
Record accumulated salaries
 AS Rentals
Worksheet
Unadjusted Trial Balance Adjustments Adjusted Trial Balance Income Statement Statement of Financial Position
Account Titles
Debit Credit Debit Credit Debit Credit Debit Credit Debit Credit
Cash ₱14,220 ₱14,220 ₱14,220
Accounts Receivable 1,090 ₱500 1,590 1,590
Prepaid Rent 9,000 ₱3,000 6,000 6,000
Unexpected Insurance 2,700 2,700 2,700
Office Supplies 1,630 530 1,100 1,100
Rental Equipment 180,000 180,000 180,000
Accumulated Depreciation: Rental Equip. 1,500 ₱1,500 ₱1,500
Notes Payable ₱110,000 110,000 110,000
Accounts Payable 1,900 1,900 1,900
Interest Payable 825 825 825
Salaries Payable 900 900 900
Unearned Rental Fees 10,000 4,840 5,160 5,160
A. Santos, Capital 80,000 80,000 80,000
A. Santos, Drawings 2,000 2,000 2,000
Income Summary
Rental Fees Earned 16,550 5,340 21,890 ₱21,890
Salaries Expense 7,200 900 8,100 ₱8,100
Maintenance Expense 340 340 340
Utilities Expense 270 270 270
Rent Expense 3,000 3,000 3,000
Office Supplies Expense 530 530 530
Depreciation Expense 1,500 1,500 1,500
Interest Expense 825 825 825
TOTAL ₱218 450 ₱218 450 ₱12,095 ₱12,095 ₱222,175 ₱222,175 14,565 21890 207,610 200,285
Net Profit 7,325 7,325
TOTAL ₱21,890 ₱21,890 ₱207,610 ₱207,610
 AS Rentals
Statement of Financial Performance
For the Month Ended September 30, 2018

Rental Fees earned ₱ 21,890

Expenses:
Salaries Expense ₱ 8,100
Maintenance Expense 340
Utilities Expense 270
Rent Expense 3,000
Office Supplies Expense 530
Depreciation Expense 1,500
Interest Expense 825 14,565
NET PROFIT
₱ 7,325 .

AS Rentals
Statement of Changes in Equity
For the Month Ended September 30, 2018

A. Santos, Capital- Beg. Balance ₱ 80,000

Add: Net Income 7,325
₱ 87,325

Less: A. Santos, Drawings (2,000)

A. Santos, Capital- End Balance ₱ 85,325 .

.
 AS Rentals
Statement of Financial Position
As of September 30, 2018

ASSETS
Current Assets
Cash ₱ 14,220
Accounts Receivable 1,590
Prepaid Rent 6,000
Office Supplies 1,100
Total Current Assets ₱ 25,940

Noncurrent Assets
Unexpected Insurance ₱ 2,700
Rental Equipment 180,000
Accumulated Depreciation - Rental Equipment (1,500)
Total Noncurrent Assets 181,200
TOTAL ASSETS ₱ 204,110 .

LIABILITIES AND OWNER'S EQUITY

LIABILITIES
Notes Payable ₱ 110,000
Accounts Payable 1,900
Interest Payable 825
Salaries Payable 900
Unearned Rental Fees 5,160
Total Liabilities ₱ 118,785

Noncurrent Liabilities

OWNER'S EQUITY
A. Santos, Capital 85,325
TOTAL LIABILITIES AND OWNER'S EQUITY ₱ 204,110 .
 AS Rentals
General Journal (Closing Entry)
Page 3
Date
Account Titles & Explanations P.R. Debit Credit
2018
Sept. 30 Rental Fees Earned 21,890
Income Summary 21,890
To close the revenue account

30 Income Summary 14,565

Salaries Expense 8,100
Maintenance Expense 340
Utilities Expense 270
Rent Expense 3,000
Office Supplies Expense 530
Depreciation Expense 1,500
Interest Expense 825
To close the expense accounts

30 Income Summary 7,325

A. Santos, Capital 7,325
To transfer income summary to capital

30 A.Santos, Drawings 2,000

A. Santos Capital 2,000
To close drawings to capital

Account Name: Prepaid Rent Account No.

Date
2018
Explanation J.R. Debit Credit Balance
Sept. 1 Beginning Balance J1 9,000 9,000
30 Adjusting Entry J2 3,000 6,000

Account Name: Office Supplies Account No.

Date
2018
Explanation J.R. Debit Credit Balance
Sept. 1 Beginning Balance J1 1,630 1,630
30 Adjusting Entry J2 530 1,100
Account Name: Accounts Receivable Account No.
Date
2018
Explanation J.R. Debit Credit Balance
Sept. 30 Beginning Balance J1 1,090 1,090
30 Adjusting Entry J2 500 1,590

Account Name: Accumulated Depreciation – Rental Equipment Account No.

Date
2018
Explanation J.R. Debit Credit Balance
Sept. 30 Adjusting Entry J2 1500 1,500

Account Name: Interest Payable Account No.

Date
2018
Explanation J.R. Debit Credit Balance
Sept. 30 Adjusting Entry J2 825 825

Account Name: Salaries Payable Account No.

Date
2018
Explanation J.R. Debit Credit Balance
Sept. 30 Adjusting Entry J2 900 900

Account Name: Unearned Rental Fees Account No.

Date
2018
Explanation J.R. Debit Credit Balance
Sept. 30 Beginning Balance 10,000 10,000
30 Adjusting Entry J2 4,840 5,160

Account Name: Rental Fees Earned Account No.

Date
2018
Explanation J.R. Debit Credit Balance
Sept. 30 Beginning Balance J1 16,550 16,550
30 Adjusting Entry J2 4,840 21,390
30 Adjusting Entry J2 500 21,890
30 Closing Entry J3 21,890 0
Account Name: Rent Expense Account No.
Date
2018
Explanation J.R. Debit Credit Balance
Sept. 30 Adjusting Entry J2 3,000 3000
30 Closing Entry J3 3,000 0

Account Name: Interest Expense Account No.

Date
2018
Explanation J.R. Debit Credit Balance
Sept. 30 Adjusting Entry J2 825 825
30 Closing Entry J3 825 0

Account Name: Depreciation Expense Account No.

Date
2018
Explanation J.R. Debit Credit Balance
Sept. 30 Adjusting Entry J2 1,500 1,500
30 Closing Entry J3 1,500 0

Account Name: Office Supplies Expense Account No.

Date
2018
Explanation J.R. Debit Credit Balance
Sept. 30 Adjusting Entry J2 530 530
30 Closing Entry J3 530 0

Account Name: Salaries Expense Account No.

Date
2018
Explanation J.R. Debit Credit Balance
Sept. 30 Beginning Balance J1 7200 7200
30 Adjusting Entry J2 900 8,100
30 Closing Entry J3 8,100 0

Account Name: Maintenance Expense Account No.

Date
2018
Explanation J.R. Debit Credit Balance
Sept. 30 Beginning Balance J1 340 340
30 Closing Entry J3 340 0
Account Name: Utilities Expense Account No.
Date
2018
Explanation J.R. Debit Credit Balance
Sept. 30 Beginning Balance J1 270 270
30 Closing Entry J3 530 0

Account Name: A. Santos, Capital Account No.

Date
2018
Explanation J.R. Debit Credit Balance
Sept. 30 Beginning Balance J1 80,000 80,000
30 Closing Entry J3 7,325 87,325
30 A. Santos, Drawings J3 2,000 85,320

Account Name: A. Santos, Drawings Account No.

Date
2018
Explanation J.R. Debit Credit Balance
Sept. 30 Beginning Balance J1 2,000 2,000
30 Closing Entry J3 2,000 0

Account Name: Income Summary Account No.

Date
2018
Explanation J.R. Debit Credit Balance
Sept. 30 To close revenue account J3 21,890 21,890
30 To close epense account J3 14,565 7,325
30 Closing Entry J3 7,325 0
 AS Rentals
Post-Closing Trial Balance
September 30, 2018

Cash ₱ 14,220
Accounts Receivable 1,590
Prepaid Rent 6,000
Unexpected Insurance 2,700
Office Supplies 1,100
Rental Equipment 180,000
Accumulated Depreciation: Rental
Equipment ₱ 1,500
Notes Payable 110,000
Accounts Payable 1,900
Interest Payable 825
Salaries Payable 900
Unearned Rental Fees 5,160
A. Santos, Capital 85,325
TOTAL ₱ 205,610 ₱ 205,610
 Problem 2: XYZ Wholesale Company

XYZ Wholesale Company

Adjusting Entry
PAGE 2
DATE
2018 ACCOUNT TITLES AND EXPLANATION P.R. DEBIT CREDIT
Aug. 31 Bad debt expense 2 5 0 0
Allowance for bad debts 2 5 0 0
To record estimated bad debts

(b) 31 Interest Expense 2 5 0

Interest Payable 2 5 0
To record accrued interest

(c) 31 Depreciation Expense 5 0 0

Accumulated Depreciation - Equipment 5 0 0
To record accumulated depreciation

(d) 31 Interest Receivable 8 0

Interest Income 8 0
To record accrued interest

(e) 31 Rent Expense 3 0 0 0

Prepaid Rent 3 0 0 0
To record expired rent
 XYZ Wholesale Company
Adjusted Trial Balance
December 31, 2019

Cash ₱ 21,000
Accounts Receivable 25,000
Allowance for bad debts ₱ 2,500
Notes Receivable 20,000
Interest Receivable 80
Prepaid Rent 3,000
Inventory 16,000
Equipment 20,000
Accumulated Depreciation-Equip. 500
Notes Payable 30,000
Accounts Payable 20,000
Interest Payable 250
Share Capital 50,000
Retained Earnings 1,000
Sales Revenue 40,000
Interest Income 80
Cost of Goods Sold 22,000
Rent Expense 3,000 4,000
Salaries Expense 7,000 5,000
Utilities Expense 2,000
Bad Debts Expense 2,500
Interest Expense 250
Depreciation Expense 500
TOTAL ₱ 140,830 ₱ 140,830
POST-TEST
1. SFP
2. SFP
3. SFP
4. SFP
5. IS
6. SFP
7. SFP
8. SFP
9. SFP
10. IS