The family Medical Clinic is owned and operated by Dr. Fria. Dr. Fria has the following...

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The family Medical Clinic is owned and operated by Dr. Fria. Dr. Fria has the following assets and liabilities when he started the clinic on July 1: Cash, P54,200; Medical supplies, P3,850; Medical equipment, P75,000; Accounts payable on medica equipment, P25,000. His business transactions during July are the following: a) Received cash from patients for services performed, P40,000. b) Paid amounts owed for medical equipment, P15,000. c) Received cash from account patients, P10,000 for medical services of P20,000. d) Paid office rent for the month, P15,000. e) Charged patients for services performed, P8,025. f) Purchased medical supplies on account, P12,450. g) Received cash from patients for amounts owing, P13,000. h) Paid the following: salaries expense, P850; repair service expense, P250; utilities expense, P400. i) Cost of medical supplies used, P3,980. J) Dr. Fria withdrew P10,000 in cash from the clinic for personal use. Required: a) Determine the amount of owner's equity as of July 1 of the current year. b) Analyze the above transactions and determine the balances. Start with the beginning balances. c) Prepare an income statement and the statement of financial position as of July 31. The family Medical Clinic is owned and operated by Dr. Fria. Dr. Fria has the following assets and liabilities when he started the clinic on July 1: Cash, P54,200; Medical supplies, P3,850; Medical equipment, P75,000; Accounts payable on medica equipment, P25,000. His business transactions during July are the following: a) Received cash from patients for services performed, P40,000. b) Paid amounts owed for medical equipment, P15,000. c) Received cash from account patients, P10,000 for medical services of P20,000. d) Paid office rent for the month, P15,000. e) Charged patients for services performed, P8,025. f) Purchased medical supplies on account, P12,450. g) Received cash from patients for amounts owing, P13,000. h) Paid the following: salaries expense, P850; repair service expense, P250; utilities expense, P400. i) Cost of medical supplies used, P3,980. J) Dr. Fria withdrew P10,000 in cash from the clinic for personal use. Required: a) Determine the amount of owner's equity as of July 1 of the current year. b) Analyze the above transactions and determine the balances. Start with the beginning balances. c) Prepare an income statement and the statement of financial position as of July 31.

Answer rating: 100% (QA)

Answer a Owners Equity as of July 1 Dr Frias owners equity as of July 1 is calculated using the formula Equity Assets Liabilities Owners Equity Assets Liabilities Owners Equity P54200 P3850 P75000 P25... View the full answer