A. More Review Show (MRS) prepares quarterly statements. The
bookkeeper presented to you the records and you found out the following account balances
before adjustments for the quarter ended March 31, 200B:
1. The notes receivable balance of P180,000 as of March 31, 200B consisted of a 60-day 12% note for P120,000 dated February 14, 200B and a 30-day 6% note for P60,000 dated March 16, 200B
2. The balance of the prepaid insurance account of P22,000 represents a one-year policy
contracted last November 1, 200A for P10,000 and a two-year policy contracted last July 1, 200A for P12,000
3. The balance of the prepaid rent account of P50,000 pertains to advance rent paid last
December 1, 200A six months effective on the same date.
4. The rate per day for each of the four shop workers is P350. MRS pays the weekly salaries of its workers every Monday of the following week ( a week consisting of five days from Monday to Friday). March 31, 200B falls on Thursday.
5. Mortgage notes payable had a credit balance of P200,000 as of March 31, 200B. Interest at the rate of 12% is payable semi-annually every August 1 and February 1. MRS regularly paid the interest payments
Required: Prepare necessary adjusting entries as of March 31, 200B (Indicate the no. of
your entry

B. On Jan. 3, 2018, ABC Company showed a cash balance of P320,000 and incurred the
following:
2018 Transactions
Jan. 10 Made additional capital investment, P200,000 worth of computer.
Feb 1 Purchased tables and chairs amounting to P50,000, paid P25000 cash and the
balance on account.
Mar 15 Received proceeds from a bank loan amounting to P455,000.
April 31 Mr. A withdrew P38,500 cash for personal use.
May 1 Received from all account customers P228,000 payment on their account
balances
June 15 Paid 25% of Mar 15 bank loan plus P15,500 interest
Aug 31 Received P420,000 advance payment from DEF Inc. for services to be rendered
in the future.
Sept 31 Sold steel cabinet with a book value of P40,000 for P35,000
Dec 28 Paid P74,000 expenses incurred in rendering consulting services.
Compute for the following: (Show computations)
1. Net cash flow from operating activities – please indicate if it is “Net Inflow” or “Net
Outflow”
2. Net cash flow from investing activities – please indicate if it is “Net Inflow” or “Net
Outflow”
3. Net cash flow from financing activities – please indicate if it is “Net Inflow” or “Net
Outflow”
4. Cash balance at the end of the period

C. Ella Manalo, the proprietress of Manalo Slimming Center, presented the following adjusted
account balances as of January 31, 2018:
Cash on hand and in bank P 5,960
Utilities expense 1,200
Accounts receivable 8,000
Depreciation expense 1,100
Allowance for doubtful accounts 1,000
Rent expense 1,800
Notes receivable 4,000
Interest income 300
Supplies 600
Service fees 32,000
Manalo, drawing 4,500
Manalo, Capital 48,630
Prepaid rent 820
Building 88,000
Accounts payable 6,000
Salaries payable 1,450
Accumulated depreciation 18,000
Unearned service fees 8,600
Compute for the following: (Show computations)
1. Profit (Loss) – please indicate if it is “Profit” or “Loss”
2. Capital balance at the end (after closing entries)
3. Total assets
4. Total liabilities

Question

A. More Review Show (MRS) prepares quarterly statements. The
bookkeeper presented to you the records and you found out the following account balances
before adjustments for the quarter ended March 31, 200B:
1. The notes receivable balance of P180,000 as of March 31, 200B consisted of a 60-day 12% note for P120,000 dated February 14, 200B and a 30-day 6% note for P60,000 dated March 16, 200B
2. The balance of the prepaid insurance account of P22,000 represents a one-year policy
contracted last November 1, 200A for P10,000 and a two-year policy contracted last July 1, 200A for P12,000
3. The balance of the prepaid rent account of P50,000 pertains to advance rent paid last
December 1, 200A six months effective on the same date.
4. The rate per day for each of the four shop workers is P350. MRS pays the weekly salaries of its workers every Monday of the following week ( a week consisting of five days from Monday to Friday). March 31, 200B falls on Thursday.
5. Mortgage notes payable had a credit balance of P200,000 as of March 31, 200B. Interest at the rate of 12% is payable semi-annually every August 1 and February 1. MRS regularly paid the interest payments
Required: Prepare necessary adjusting entries as of March 31, 200B (Indicate the no. of
your entry

B. On Jan. 3, 2018, ABC Company showed a cash balance of P320,000 and incurred the
following:
2018 Transactions
Jan. 10 Made additional capital investment, P200,000 worth of computer.
Feb 1 Purchased tables and chairs amounting to P50,000, paid P25000 cash and the
balance on account.
Mar 15 Received proceeds from a bank loan amounting to P455,000.
April 31 Mr. A withdrew P38,500 cash for personal use.
May 1 Received from all account customers P228,000 payment on their account
balances
June 15 Paid 25% of Mar 15 bank loan plus P15,500 interest
Aug 31 Received P420,000 advance payment from DEF Inc. for services to be rendered
in the future.
Sept 31 Sold steel cabinet with a book value of P40,000 for P35,000
Dec 28 Paid P74,000 expenses incurred in rendering consulting services.
Compute for the following: (Show computations)
1. Net cash flow from operating activities – please indicate if it is “Net Inflow” or “Net
Outflow”
2. Net cash flow from investing activities – please indicate if it is “Net Inflow” or “Net
Outflow”
3. Net cash flow from financing activities – please indicate if it is “Net Inflow” or “Net
Outflow”
4. Cash balance at the end of the period

C. Ella Manalo, the proprietress of Manalo Slimming Center, presented the following adjusted
account balances as of January 31, 2018:
Cash on hand and in bank P 5,960
Utilities expense 1,200
Accounts receivable 8,000
Depreciation expense 1,100
Allowance for doubtful accounts 1,000
Rent expense 1,800
Notes receivable 4,000
Interest income 300
Supplies 600
Service fees 32,000
Manalo, drawing 4,500
Manalo, Capital 48,630
Prepaid rent 820
Building 88,000
Accounts payable 6,000
Salaries payable 1,450
Accumulated depreciation 18,000
Unearned service fees 8,600
Compute for the following: (Show computations)
1. Profit (Loss) – please indicate if it is “Profit” or “Loss”
2. Capital balance at the end (after closing entries)
3. Total assets
4. Total liabilities

Accepted Answer

Hi student
Since there are multiple questions, we will answer only first question. If you want…