Homework Help is Here – Start Your Trial Now!
Business
Accounting
At the beginning of current year, Baket Company started business and issued share capital, 60,000 shares with P100 par, for the following considerations: Cash 500,000 4,500,000 Building with useful life of 15 years 1,500,000 6,500,000 Land An analysis of the bank statements showed total deposits, including the original cash investment of P3,500,000. The balance in the bank statement on December 31 was P250,000 but there were checks amounting P50,000 dated in December but not paid by the bank until January of next year. Cash on hand on December 31 was P125,000 including customers' deposit of P75,000. During the year, the entity borrowed P500,000 from the bank and repaid P125,000 and P25,000 interest. The proceeds of the loan were credited to the bank account of the entity. Disbursement paid in cash during the year were: 100,000 100,000 175,000 Utilities Salaries Supplies Taxes 25,000 Dividends 150,000 550,000 An inventory of merchandise taken on December 31 shoed P755,000 of merchandise. Tickets for accounts receivable totaled P990,000 but P50,000 of that amount may prove uncollectible Unpaid suppliers' invoices for merchandise amounted P350,000. Equipment with a cash price of P400,000 was purchased in early January on a one-year installment basis. During the year, checks for the down payment and all maturing installments totaled P445,000. The equipment has a useful life of 5 vears.

At the beginning of current year, Baket Company started business and issued share capital, 60,000 shares with P100 par, for the following considerations: Cash 500,000 4,500,000 Building with useful life of 15 years 1,500,000 6,500,000 Land An analysis of the bank statements showed total deposits, including the original cash investment of P3,500,000. The balance in the bank statement on December 31 was P250,000 but there were checks amounting P50,000 dated in December but not paid by the bank until January of next year. Cash on hand on December 31 was P125,000 including customers' deposit of P75,000. During the year, the entity borrowed P500,000 from the bank and repaid P125,000 and P25,000 interest. The proceeds of the loan were credited to the bank account of the entity. Disbursement paid in cash during the year were: 100,000 100,000 175,000 Utilities Salaries Supplies Taxes 25,000 Dividends 150,000 550,000 An inventory of merchandise taken on December 31 shoed P755,000 of merchandise. Tickets for accounts receivable totaled P990,000 but P50,000 of that amount may prove uncollectible Unpaid suppliers' invoices for merchandise amounted P350,000. Equipment with a cash price of P400,000 was purchased in early January on a one-year installment basis. During the year, checks for the down payment and all maturing installments totaled P445,000. The equipment has a useful life of 5 vears.

Managerial Accounting: The Cornerstone of Business Decision-Making
Managerial Accounting: The Cornerstone of Business Decision-Making
7th Edition
ISBN:9781337115773
Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Chapter14: Statement Of Cash Flows
Section: Chapter Questions
Problem 32BEB: During 20X2, Evans Company had the following transactions: a. Cash dividends of 6,000 were paid. b....
See similar textbooks
icon
Related questions
Topic Video
Question

1. What is the amount of sales for the year?

2. What is the amount of purchases for the year?

 

3. What is the net income for the year?

 

5. What is the amount of shareholders' equity on December 31?

At the beginning of current year, Baket Company started business and issued share capital, 60,000 shares with P100 par, for the following considerations: Cash 500,000 Building with useful life of 15 years 4,500,000 Land 1,500,000 6,500,000 An analysis of the bank statements showed total deposits, including the original cash investment of P3,500,000. The balance in the bank statement on December 31 was P250,000 but there were checks amounting to P50,000 dated in December but not paid by the bank until January of next year. Cash on hand on December 31 was P125,000 including customers' deposit of P75,000. During the year, the entity borrowed P500,000 from the bank and repaid P125,000 and P25,000 interest. The proceeds of the loan were credited to the bank account of the entity. Disbursement paid in cash during the year were: Utilities 100,000 Salaries 100,000 Supplies 175,000 Таxes 25,000 Dividends 150,000 550,000 An inventory of merchandise taken on December 31 shoed P755,000 of merchandise. Tickets for accounts receivable totaled P990,000 but P50,000 of that amount may prove uncollectible. Unpaid suppliers' invoices for merchandise amounted P350,000. Equipment with a cash price of P400,000 was purchased in early January on a one-year installment basis. During the year, checks for the down payment and all maturing installments totaled P445,000. The equipment has a useful life of 5 years.
Transcribed Image Text:At the beginning of current year, Baket Company started business and issued share capital, 60,000 shares with P100 par, for the following considerations: Cash 500,000 Building with useful life of 15 years 4,500,000 Land 1,500,000 6,500,000 An analysis of the bank statements showed total deposits, including the original cash investment of P3,500,000. The balance in the bank statement on December 31 was P250,000 but there were checks amounting to P50,000 dated in December but not paid by the bank until January of next year. Cash on hand on December 31 was P125,000 including customers' deposit of P75,000. During the year, the entity borrowed P500,000 from the bank and repaid P125,000 and P25,000 interest. The proceeds of the loan were credited to the bank account of the entity. Disbursement paid in cash during the year were: Utilities 100,000 Salaries 100,000 Supplies 175,000 Таxes 25,000 Dividends 150,000 550,000 An inventory of merchandise taken on December 31 shoed P755,000 of merchandise. Tickets for accounts receivable totaled P990,000 but P50,000 of that amount may prove uncollectible. Unpaid suppliers' invoices for merchandise amounted P350,000. Equipment with a cash price of P400,000 was purchased in early January on a one-year installment basis. During the year, checks for the down payment and all maturing installments totaled P445,000. The equipment has a useful life of 5 years.
Expert Solution
steps

Step by step

Solved in 3 steps

SEE SOLUTIONCheck out a sample Q&A here
Blurred answer
Knowledge Booster
Accounting Equation
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
Similar questions
Recommended textbooks for you
Managerial Accounting: The Cornerstone of Busines…
Managerial Accounting: The Cornerstone of Busines…
Accounting
ISBN:
9781337115773
Author:
Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Publisher:
Cengage Learning
College Accounting, Chapters 1-27
College Accounting, Chapters 1-27
Accounting
ISBN:
9781337794756
Author:
HEINTZ, James A.
Publisher:
Cengage Learning,
Century 21 Accounting Multicolumn Journal
Century 21 Accounting Multicolumn Journal
Accounting
ISBN:
9781337679503
Author:
Gilbertson
Publisher:
Cengage
Century 21 Accounting General Journal
Century 21 Accounting General Journal
Accounting
ISBN:
9781337680059
Author:
Gilbertson
Publisher:
Cengage
SWFT Comprehensive Vol 2020
SWFT Comprehensive Vol 2020
Accounting
ISBN:
9780357391723
Author:
Maloney
Publisher:
Cengage
Intermediate Accounting: Reporting And Analysis
Intermediate Accounting: Reporting And Analysis
Accounting
ISBN:
9781337788281
Author:
James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:
Cengage Learning
SEE MORE TEXTBOOKS