IETI College of Science and Technology

161 Magsaysay Avenue, 4023 San Pedro, Laguna

Fundamentals of Accounting, Business & Management 2

ACTIVITY: Module 2: SCI

Name: Date:
Level / Section Teacher: Mr. Ramel V. Manding

Solve and present your solution for each of the problem below in a columnar sheet as appropriate.

1. The adjusted trial balance of Raon Electronics Company as of 30 September 2018 is given
below. Prepare a SFP using report form and the SCI using the single-step format.

Raon Electronics Company

Trial Balance – Adjusted
30 September 2018
(In Peso Amount)

Account Title Debit Credit

Cash 21,700.00
Accounts Receivable 4,200.00
Supplies 1,800.00
Prepaid Insurance 6,300.00
Land 43,500.00
Building 132,000.00
Accumulated Depreciation – Building 25,000.00
Accounts Payable 3,700.00
Notes Payable 10,300.00
Salaries Payable 2,500.00
Property Tax Payable 4,100.00
Unearned Revenue 2,600.00
Loans Payable (due in 4 years) 100,000.00
Mr. L, Capital ???
Service Revenue 78,600.00
Wages Expense 14,800.00
Utilities Expense 4,600.00
Property Tax Expense 3,500.00
Insurance Expense 6,700.00
Supplies Expense 5,100.00
Depreciation Expense 8,800.00
Interest Expense 13,200.00
Miscellaneous Expense 1,200.00
Total 267,400.00 267,400.00

 For Mr. L, Capital, squeeze in the figure, i.e., total credits P 267,400.00 less total of accumulated
depreciation down to service revenue.

 Get the net profit or net loss based on the difference of revenue and expenses. Present it as an addition
to Mr. L, Capital in the SFP.
2. Using the multi-step format of SCI, copy below table in your worksheet and fill in the missing amounts
in the table below:

Case A Case B Case C Case D

Sales 200,000.00 300,000.00 g. 500,000.00
Beginning Inventory 50,000.00 50,000.00 h. 150,000.00
Purchases 150,000.00 d. 100,000.00 350,000.00
Freight In 5,000.00 5,000.00 10,000.00 10,000.00
Purchase Discount 2,000.00 2,000.00 5,000.00 5,000.00
Goods Available for Sale a. 253,000.00 110,000.00 j.
Ending Inventory 53,000.00 e. 75,000.00 k.
Gross Profit b. 83,000.00 50,000.00 l.
Operating Expenses 20,000.00 f. i. 60,000.00
Net Operating Income/Loss c. (27,000.00) 25,000.00 (40,000.00)

3. Jasmin School Supplies is in its second year of operation. Information extracted from its
operation is given below. Prepare a multi-step SCI.

Jasmin School Supplies

Trial Balance
31 December 2018
(In Peso Amount)

Account Debit Credit

Sales 304,650.00
Sales Returns and Allowances 2,800.00
Sales Discount 3,500.00
Merchandise Inventory, Beginning 173,800.00
Purchases 76,010.00
Freight-in 1,105.00
Purchase Discounts 1,550.00
Purchase Returns and Allowances 3,000.00
Merchandise Inventory, End 60,865.00
Rent 52,000.00
Commission Expense 14,500.00
Salaries 43,230.00
Utilities 1,770.00
Gas and Oil 300.00
Repairs and Maintenance 4,255.00
Interest Income 1,305.00
Interest Expense 5,000.00
Taxes and Licenses 3,000.00
Total 442,135.00 310,505.00
4. The trial balance of Elegant Interior Company is shown below. Prepare a SCI (single-step
format) and the SFP (report form).

Elegant Interiors Company

Trial Balance – Adjusted
31 December 2018
(In Peso Amount)

Account Debit Credit

Cash 186,000.00
Accounts Receivable 71,200.00
Prepaid Rent 12,000.00
Equipment 177,500.00
Accumulated Depreciation – Equipment 12,625.00
Accounts Payable 18,000.00
Notes Payable 12,000.00
Mr. M, Capital 300,000.00
Mr. M, Drawing 19,000.00
Professional Fees 276,300.00
Salaries Expense 96,100.00
Supplies Expense 12,000.00
Utilities Expense 37,800.00
Rent Expense 7,200.00
Depreciation Expense 7,125.00
Salaries Payable 12,000.00
Interest Expense 80.00
Interest Payable 80.00
Bad Debts Expense 3,560.00
Allowance for Bad Debts 3,560.00
Supplies Inventory 5,000.00
Total 634,565.00 634,565.00
5. Zhivago Computer Enterprises began operations in 2017. A disorganized trial balance as of
end of second year 2018 is given below. Prepare the SCI (multi-step format) and SFP
(report form).

Zhivago Computer Enterprises

Trial Balance
31 December 2018
(In Peso Amount)

Account Debit Credit

Office Rent 20,000.00
Cash on Hand 60,000.00
Cash on Bank 309,000.00
Merchandise Inventory, Jan 137,500.00
VAT Payable 54,500.00
Supplies Inventory 6,000.00
Accumulated Depreciation-Office Furniture & Equipment 49,000.00
Salaries and Wages – Office 130,000.00
Notes payable (due 2021) 140,000.00
Sales 1,257,500.00
Purchases 500,000.00
Salaries and Wages – Store 40,500.00
Purchase Discount 15,000.00
Office Furniture and Equipment 214,500.00
Depreciation Expense – Office Furniture and Equipment 25,000.00
Accounts Payable 38,000.00
Bad Debts Expense 2,800.00
Interest Expense 67,500.00
Store Supplies Used 5,500.00
Depreciation Expense – Store Furniture and Equipment 20,000.00
Accounts Payable 26,400.00
Rent Income 3,700.00
Sales Returns and Allowances 14,000.00
Freight-in 5,000.00
Store Rent Expense 40,000.00
Allowance for Bad Debts 4,800.00
Mr. Z, Capital 790,400.00
Prepaid Insurance 54,000.00
Accumulated Depreciation-Store Furniture and Equipment 56,000.00
Merchandise Inventory, 31 December 175,000.00
Income Summary 175,000.00
Taxes and Licenses 77,500.00
Insurance Expense 55,000.00
Mr. Z, Drawing 110,000.00
Store Furniture and Equipment 209,000.00
Office Supplies Used 6,500.00
Advertising and Promotion 250,000.00
Total 2,572,300.00 2,572,300.00