Mr. Bruno Manly opened up a barber salon, called Pagupitan Co., on December 1, 2011. The...
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Mr. Bruno Manly opened up a barber salon, called "Pagupitan Co., on December 1, 2011. The following were the transactions during the month: Dec. 1 1 6 7 14 27 The owner provided P200,000 cash as initial investment to the business. Obtained a 12%, one-year, bank loan for P100,000. Prinicpal and interest are due at maturity date. Paid six months' rent in advance of P60,000. Rent per month is P10,000. Acquired equipment for P180,000 cash. The equipment has a useful life of 5 years. Purchased supplies for P50,000 during the period. Rendered services worth P220,000 for cash during the period. The owner withdrew a total of P40,000 cash from the business during the period. Additional information: a. The water and electricity bills in December amounting to P3,000 are not yet paid. b. The cost of unused supplies is P20,000. c. Interest is to be recorded at the end of December 2011. Requirements: Prepare the 6 column worksheet on December 31, 2011. Mr. Bruno Manly opened up a barber salon, called "Pagupitan Co., on December 1, 2011. The following were the transactions during the month: Dec. 1 1 6 7 14 27 The owner provided P200,000 cash as initial investment to the business. Obtained a 12%, one-year, bank loan for P100,000. Prinicpal and interest are due at maturity date. Paid six months' rent in advance of P60,000. Rent per month is P10,000. Acquired equipment for P180,000 cash. The equipment has a useful life of 5 years. Purchased supplies for P50,000 during the period. Rendered services worth P220,000 for cash during the period. The owner withdrew a total of P40,000 cash from the business during the period. Additional information: a. The water and electricity bills in December amounting to P3,000 are not yet paid. b. The cost of unused supplies is P20,000. c. Interest is to be recorded at the end of December 2011. Requirements: Prepare the 6 column worksheet on December 31, 2011.
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Account Title Debit Credit Initial Investment 200000 Bank Loan 100000 Rent Expense 60000 Equipment 1... View the full answer
Related Book For
Income Tax Fundamentals 2013
ISBN: 9781285586618
31st Edition
Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill
Posted Date:
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