GENERAL JOURNAL

DATE PARTICULARS PR DEBIT CREDIT

200C
DEC 1 Cash 101 ₱ 150,000.00
D.Maputim 301 ₱ 150,000.00
To record the intial capital of Mr. Dindo Maputim
1 Taxes And Licenses Expense 507 ₱ 1,250.50
Cash 101 ₱ 1,250.50
To record the expenses of Mr. Dindo Maputim for licenses and permits
1 Repair Equipments 113 ₱ 25,000.00
Cash 101 ₱ 25,000.00
To record repair equipment expenses
2 Cash 101 ₱ 10,260.00
Repair Income 401 ₱ 10,260.00
To record the income from the rendered service
3 Furnitures and Fixtures 111 ₱ 12,530.00
Accounts Payable 202 ₱ 12,530.00
To record the accounts payable for the office table and chairs
3 Office Equipment 112 ₱ 24,000.00
Cash 202 ₱ 24,000.00
To record the accounts payable for office equipment
4 Tools 110 ₱ 2,368.50
D. Maputim 301 ₱ 2,368.50
To record the personal expense of Mr. Maputim on his tools
5 Rent Expense 502 ₱ 3,800.00
Cash 101 ₱ 3,800.00
6 Accounts Receivable 103 ₱ 12,560.25
Repair Income 401 ₱ 12,560.25
To record the bill to be paid by the customer for the service rendered
7 Repair Equipments 113 ₱ 32,000.00
Accounts Payable 202 ₱ 32,000.00
To record the accounts payable on the additional office equipment
7 Supplies Expense 503 ₱ 2,367.80
Accounts Payable 202 ₱ 2,367.80
To record supplies expense on account
8 Notes Receivable 102 ₱ 15,500.00
Repair Income 401 ₱ 15,500.00
To record the promissory note from the customer for the service rendered
9 Cash 101 ₱ 120,000.00
Loans Payable 210 ₱ 120,000.00
To record the loan payable for 3 years
10 Furniture and Fixtures 202 ₱ 3,000.00
Notes Payable 201 ₱ 3,000.00
To record payable amounts for additional office supplies bought
12 Advertising Expense 508 ₱ 4,500.00
Cash 101 ₱ 4,500.00
To record the expenses on advertisement
13 Light and Water Expense 504 ₱ 9,634.88
Cash 101 ₱ 9,634.88
To record the utilities expense of the Quality Auto Repair Shop
15 Salaries Expense 501 ₱ 25,668.00
Cash 101 ₱ 25,668.00
To record the salaries to paid to the employees
16 Cash 101 ₱ 32,550.00
Repair Income 401 ₱ 32,550.00
To receive the payment of customers from the repair service rendered
18 Accounts Payable 202 ₱ 5,530.00
Cash 101 ₱ 5,530.00
To record the partial payment made to XOX Trading
20 Cash 201 ₱ 15,500.00
Notes Receivable 101 ₱ 15,500.00
To record the payment made by Mr. Magno on his promissory note (Dec.8)
21 D. Maputim Drawing 302 ₱ 5,000.00
Cash 101 ₱ 5,000.00
To record the cash withdrawn by Mr. Maputim on his Equity
25 Cash 101 ₱ 12,500.00
Accounts Receivable 103 ₱ 12,500.00
Repair Income 401 ₱ 25,000.00
To record the bill and 50% downpayment of the customer to the service rendered
27 Tools 113 ₱ 10,000.00
Cash 101 ₱ 2,000.00
Accounts Payable 202 ₱ 8,000.00
To record the additional tools brought with a P2,000.00 downpayment
30 Communication Expense 506 ₱ 2,156.75
Cash 101 ₱ 2,156.75
To record the expense utilities of the shop on the internet
31 Salaries Expense 501 ₱ 24,600.00
Gas and Oil Expense 505 ₱ 3,000.00
Cash 101 ₱ 27,600.00
To record the salaries expense and office utilities expense of the shop
31 Accounts Receivable 103 ₱ 24,500.00
Repair Income 401 ₱ 24,500.00
To record the bill given to the customer for the service rendered
31 Loan Payable 210 ₱ 40,000.00
Cash 101 ₱ 40,000.00
 To record the loan partially paid made from the PNB
31 Cash 402 ₱ 2,500.00
Rental Income 101 ₱ 2,500.00
To record the payment of the tenant to a portion of office space occupied
31 Cash 101 ₱ 12,560.25
Accounts Receivable 103 ₱ 12,560.25
To record the full amount of the account collected from the rendered service to the customer

₱ 657,336.93 ₱ 657,336.93
T-ACCOUNT LEDGER
ASSETS LIABILITIES
Cash Notes Payable Taxes and Licenses Expense
Debit Credit Debit Credit Debit Credit
₱ 150,000.00 ₱ 1,250.50 ₱ 3,000.00 ₱ 1,250.50
₱ 10,260.00 ₱ 25,000.00 ₱ 3,000.00 ₱ 1,250.50
₱ 120,000.00 ₱ 24,000.00
₱ 32,550.00 ₱ 3,800.00 Accounts Payable
₱ 12,500.00 ₱ 4,500.00 Debit Credit Rent Income
₱ 12,560.25 ₱ 9,634.88 ₱ 5,530.00 ₱ 12,530.00 Debit Credit
₱ 15,500.00 ₱ 25,668.00 ₱ 32,000.00 ₱ 3,000.00
₱ 2,500.00 ₱ 5,530.00 ₱ 2,367.80 ₱ 3,000.00
₱ 5,000.00 ₱ 8,000.00
₱ 2,000.00 ₱ 49,367.80
₱ 2,156.75 Gas and Oil Expense
₱ 27,660.00 Debit Credit
₱ 40,000.00 Loans Payable ₱ 3,000.00
₱ 355,870.00 ₱ 176,200.13 Debit Credit ₱ 3,000.00
₱ 179,670.12 ₱ 40,000.00 ₱ 120,000.00
₱ 80,000.00

Advertising Expense
Accounts Receivable EQUITY Debit Credit
Debit Credit D. Maputim ₱ 4,500.00
₱ 12,560.25 ₱ 12,560.25 Debit Credit ₱ 4,500.00
₱ 12,500.00 ₱ 150,000.00
₱ 24,500.00 ₱ 2,368.50
₱ 152,368.50 Supplies Expense
₱ 37,000.00 Debit Credit
₱ 2,637.80
₱ 2,637.80
 Communication Expense
Notes Receivable D. Maputim Drawing Debit Credit
Debit Credit Debit Credit ₱ 2,156.75
₱ 15,500.00 ₱ 15,500.00 ₱ 5,000.00 ₱ 2,156.75
₱ 5,000.00
Light and Water Expense
₱ - INCOME DEBIT Credit
Repair Income ₱ 9,634.88
Tools Debit Credit ₱ 9,634.88
Debit Credit ₱ 10,260.00
₱ 2,368.50 ₱ 12,560.25
₱ 10,000.00 ₱ 15,500.00
₱ 32,550.00
₱ 12,368.50 ₱ 25,000.00
₱ 24,500.00
Office Equipment ₱ 120,370.25
Debit Credit
₱ 24,000.00
₱ 24,000.00 Rental Income
Debit Credit
Furniture and Fixtures ₱ 2,500.00
Debit Credit ₱ 2,500.00
₱ 12,530.00
₱ 3,000.00 EXPENSES
₱ 15,530.00 Salaries Expense
Debit Credit
Repair Equipment ₱ 25,668.00
Debit Credit ₱ 24,660.00
₱ 25,000.00 ₱ 50,328.00
₱ 32,000.00
₱ 57,000.00
 Quality Auto Repair Shop
Trial Balance
For the Month Ended Dec 31, 200C

Particulars Pr Debit Credit

Cash 101 ₱179,670.12
Note Recievable 102 -
Accounts Receivable 103 ₱37,000.00
Tools 110 ₱12,368.50
Furniture & Fixtures 111 ₱15,530.00
Office Equipment 112 ₱24,000.00
Repair Equipment 113 ₱57,000.00
Notes Payable 201 ₱3,000.00
Accounts Payable 202 ₱49,367.80
Loan Payable 210 ₱80,000.00
D. Maputim, Capital 301 ₱152,368.50
D. Maputim, Drawing 302 ₱5,000.00
Repair Income 401 ₱120,370.25
Rental Income 402 ₱2,500.00
Salaries Expense 501 ₱50,368.00
Rent Expense 502 ₱3,800.00
Supplies Expense 503 ₱2,367.80
Light & Water Expense 504 ₱9,634.88
Gas & Oil Expense 505 ₱3,000.00
Communication Expense 506 ₱2,156.75
Taxes & Licenses Expense 507 ₱1,250.50
Advertising Expense 508 ₱4,500.00
TOTAL: ₱407,606.55 ₱407,606.55
GENERAL JOURNAL FOR ADJUSTMENTS
DATE PARTICULARS PR DEBIT CREDIT
200C
DEC. 31 UNUSED SUPPLIES 104 ₱ 367.80
SUPPLIES EXPENSE 503 ₱ 367.80

31 PREPAID ADVERTISING 105 ₱ 2,250.00

ADVERTISING EXPENSE 508 ₱ 2,250.00

31 LIGHT AND WATER EXPENSE 504 ₱ 995.12

LIGHT AND WATER PAYABLE 203 ₱ 995.12

31 RENTAL RECEIVABLE 106 ₱ 2,500.00

RENTAL INCOME 402 ₱ 2,500.00

31 INTEREST EXPENSE 513 ₱ 20.00

INTEREST PAYABLE 204 ₱ 20.00

31 REPAIR INCOME 401 ₱ 5,000.00

UNEARNED REPAIR INCOME 205 ₱ 5,000.00

31 DEPRECIATION EXPENSE FURNITURE AND FIXTURES 509 ₱ 1,553.00

ACCUMULATED DEPRECIATION FURNITURE AND FIXTURES 111-A ₱ 1,553.00

31 DEPRECIATION EXPENSE OFFICE EQUIPMENT 510 ₱ 1,200.00

ACCUMULATED DEPRECIATION OFFICE EQUIPMENT 112-A ₱ 1,200.00

31 DEPRECIATION EXPENSE REPAIR EQUIPMENT 511 ₱ 2,350.00

ACCUMULATED DEPRECIATION REPAIR EQUIPMENT 113-A ₱ 2,350.00

31 IMPAIRMENT LOSS 512 ₱ 370.00

ALLOWANCE FOR IMPAIRMENT LOSS 103-A ₱ 370.00

TOTAL: ₱ 16,605.92 ₱ 16,605.92

 Quality Auto Repair Shop
Worksheet
For the Month Ended December 31, 200C
Trial Balance Adjustments Adjusted Trial Balance Income Statement Balance Sheet
Accounts
Debit Credit Debit Credit Debit Credit Debit Credit Debit Credit

Cash ₱ 179,670.12 ₱ 179,670.12 ₱ 179,670.12

Note Recievable - - -
Accounts Receivable 37,000.00 ₱ 37,000.00 ₱ 37,000.00
Tools 12,368.50 ₱ 12,368.50 ₱ 12,368.50
Furniture & Fixtures 15,530.00 ₱ 15,530.00 ₱ 15,530.00
Office Equipment 24,000.00 ₱ 24,000.00 ₱ 24,000.00
Repair Equipment 57,000.00 ₱ 57,000.00 ₱ 57,000.00
Notes Payable ### ₱ 3,000.00 ₱ 3,000.00
Accounts Payable ### 49,367.80 49,367.80
Loan Payable ### ₱ 80,000.00 ₱ 80,000.00
D. Maputim, Capital ### ₱ 152,368.50 ₱ 152,368.50
D. Maputim, Drawing 5,000.00 ₱ 5,000.00 ₱ 5,000.00
Repair Income ### ₱ 5,000.00 ₱ 115,370.25 ₱ 115,370.25
Rental Income 2,500.00 ₱ 2,500.00 ₱ 5,000.00 ₱ 5,000.00
Salaries Expense 50,368.00 50,368.00 ₱ 50,328.00
Rent Expense 3,800.00 ₱ 3,800.00 ₱ 3,800.00
Supplies Expense 2,367.80 ₱ 367.80 ₱ 2,000.00 ₱ 2,000.00
Light & Water Expense 9,634.88 ₱ 995.12 ₱ 10,630.00 ₱ 10,630.00
Gas & Oil Expense 3,000.00 ₱ 3,000.00 ₱ 3,000.00
Communication Expense 2,156.75 ₱ 2,156.75 ₱ 2,156.75
Taxes & Licenses Expense 1,250.50 ₱ 1,250.50 ₱ 1,250.50
Advertising Expense 4,500.00 ₱ 2,250.00 ₱ 2,250.00 ₱ 2,250.00
Total: ₱
₱ 407,606.55 407.606.55
 Trial Balance Adjustments Adjusted Trial Balance Income Statement Balance Sheet
Accounts Debit Credit Debit Credit Debit Credit Debit Credit Debit Credit
Unused Supplies ₱ 367.80 ₱ 367.80 ₱ 367.80
Prepaid Advertising ₱ 2,250.00 ₱ 2,250.00 ₱ 2,250.00
Light & Water Payable ₱ 995.12 ₱ 995.12 ₱ 995.12
Rental Receivable ₱ 2,500.00 ₱ 2,500.00 ₱ 2,500.00
Interest Expense ₱ 20.00 ₱ 20.00 ₱ 20.00
Interest Payable ₱ 20.00 ₱ 20.00 ₱ 20.00
Unearned Repair Income ₱ 5,000.00 ₱ 5,000.00 ₱ 5,000.00
Depreciation - Furniture & Fixtures ₱ 1,553.00 ₱ 1,553.00 ₱ 1,553.00
Depreciation - Office Equipment ₱ 1,200.00 ₱ 1,200.00 ₱ 1,200.00
Depreciation - Repair Equipment ₱ 2,350.00 ₱ 2,350.00 ₱ 2,350.00
Accum. Depreciation - Furn. & Fixt. ₱ 1,553.00 ₱ 1,553.00 ₱ 1,553.00
Accum. Depreciation - Office Eqpmnt. ₱ 1,200.00 ₱ 1,200.00 ₱ 1,200.00
Accum. Depreciation - Repair Eqpmnt ₱ 2,350.00 ₱ 2,350.00 ₱ 2,350.00
Impairment Loss ₱ 370.00 ₱ 370.00 ₱ 370.00
Allow. For Impairment Loss ₱ 370.00 ₱ 370.00 ₱ 370.00
Total: ₱ 16,605.92 ₱ 16,605.92 ₱ 416,594.67 ₱ 416,594.67 ₱ 80,908.25 ₱ 120,370.25 ₱ 335,686.42 ₱ 296,224.42
Net Income: ₱ 39,462.00 ₱ 39,462.00
Total: ₱ 120,370.25 ₱ 120,370.25 ₱ 335,686.42 ₱ 335,686.42
Journal Entry- Post Adjustments

Account Titles Debit Credit

1 Unused Supplies ₱367.8

Supplies Expense ₱367.8 6 Accrued Repair Income 5,000
Repair Income 5,000
2 Prepaid Advertising 2,250
Advertising Expense 2,250 7 Depreciation- Furniture&Fixtures 1,553
Accum Depre- Furniture&Fixtures 1,553
3 Light and Water Expense 995.12
Light and Water Payable 995.12 Depreciation- Office Equipment 1,200
Accum Depre- Office Equipment 1,200
4 Rental Receivable 2,500
Rental Income 2,500 Depreciation- Repair Equipment 2,350
Accum Depre- Repair Equipment 2,350
5 Interest Expense 20
Interest Payable 20 8 Bad Debt Expense 370
Allowance for Bad Debts 370
 Quality Auto Repair Shop
Cash Flow Statement
For the Month Ended December 31, 200C
OPERATING ACTIVITIES:
Repair Income ₱ 55,310.00
Collection of Note Receivable 15,500.00
Collection of Accounts Receivable 12,560.25
Rental Income Received 2,500.00
Payment of Accounts Payable -5,530.00
Salaries Expense -50,328.00
Rent Expense -3,800.00
Light and Water Expense -9,634.88
Gas and Oil Expense -3,000.00
Communication Expense -2,156.75
Taxes and Licenses Expense -1,250.50
Advertising Expense -4,500.00
Net Cash Flow from Operations ₱ 5,670.12
INVESTING ACTIVITIES:
 Quality Auto Repair Shop
Statement of Changes in Owner's Equity
For the Month Ended December 31, 200C

Beginning Capital ₱ 152,368.50

Add: Net Income 39,462.00
Total 191,830.50
Less: Drawing 5,000.00
Ending Capital ₱ 186,830.50
Closing Entries

Closing Entry : Income Summary

Dec.31 Repair Income 115,370.25

Rental Income 5,000.00
Salaries Expense 50,328.00
Rent Expense 3,800.00
Supplies Expense 2,000.00
Light and Water Expense 10,630.00
Gas and Oil Expense 3,000.00
Communication Expense 2,156.75
Taxes and Licenses Expense 1,250.50
Advertising Expense 2,250.00
Interest Expense 20
Depreciation-Furniture&Fix 1,553.00
Depreciation-Office Equip 1,200.00
Depreciation-Repai Equip 2,350.00
Impairment Loss 370
Income Summary 39,462.00
Closing Entry : Income Summary Closed to Equity

31-Dec Income Summary 39,462.00

Owner's Equity 39,462.00
Closing Entry : Drawings account closed to Equity

31-Dec Owner's Equity 5,000.00

Owner's Drawing 5,000.00
 Quality Auto Repair Shop
Post-closing Trial Balance
For the Month Ended December 31, 200C

Cash ₱ 179,670.12
Accounts Receivable 37,000.00
Tools 12,368.50
Furniture and Fixtures 15,530.00
Office Equipment 24,000.00
Repair Equipment 57,000.00
Note Payable ₱ 3,000.00
Accounts Payable 49,367.80
Loan Payable 80,000.00
D. Maputim, Capital 186,830.50

Adjustments:
Unused Supplies 367.8
Prepaid Advertising 2,250.00
Light and Water Payable 995.12
Rental Receivable 2,500.00
Interest Payable 20
Unearned Repair Income 5,000.00
Accumulated Depreciation-Furniture and Fixtures 1,553.00
Accumulated Depreciation-Office Equipment 1,200.00
Accumulated Depreciation-Repair Equipment 2,350.00
Allowance for Impairment Loss 370
₱ 330,686.42 ₱330,686.42
Reversing Entries

Adjusting Entries: Reversing Entries:

Unused Supplies 367.80 Supplies Expense 367.80

Supplies Expense 367.80 Unused Supplies 367.80

Prepaid Advertising 2,250.00 Advertising Expense 2,250.00

Advertising Expense 2,250.00 Prepaid Advertising 2,250.00

Rental Income 2,500.00 Unearned Rental Income 2,500.00

Unearned Rental Income 2,500.00 Rental Income 2,500.00

Accrued Interest Income 20.00 Interest Income 20.00

Interest Income 20.00 Accrued Interest Income 20.00

Accrued Repair Income 5,000.00 Repair Income 5,000.00

Repair Income 5,000.00 Accrued Repair Income 5,000.00