Bless Qulinto began operating the Quinto Modeling Agency with following: Invested cash of P500,000 and deposited this in the name of the agency A fifth of the cash invested was paid for the lease contract of the whole 2nd floor of Madrid Bldg. She also borrowed P500,000 from PNB and issued to PNB a 180 day promissory note. One half of the amount borrowed was used to buy furniture and fixtures and P100,000 She withdrew P50,000 cash from PNB for personal use. Bought a car worth P400,000 for the use of the agency paying World Motors 50% in cash, with the balance payable within a year. Paid cash P100,000 of the amount due to World Motors. 1 3 7

Bless Qulinto began operating the Quinto Modeling Agency with following: Invested cash of P500,000 and deposited this in the name of the agency A fifth of the cash invested was paid for the lease contract of the whole 2nd floor of Madrid Bldg. She also borrowed P500,000 from PNB and issued to PNB a 180 day promissory note. One half of the amount borrowed was used to buy furniture and fixtures and P100,000 She withdrew P50,000 cash from PNB for personal use. Bought a car worth P400,000 for the use of the agency paying World Motors 50% in cash, with the balance payable within a year. Paid cash P100,000 of the amount due to World Motors. 1 3 7

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter11: Long-term Assets

Section: Chapter Questions

Problem 2EA: Jada Company had the following transactions during the year: Purchased a machine for $500,000 using...

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Johnson, Incorporated had the following transactions during the year: Purchased a building for $5,000,000 using a mortgage for financing Paid $2,000 for ordinary repair on a piece of equipment Sold product on account to customers for $1,500,600 Purchased a copyright for $5,000 cash Paid $20,000 cash to add a storage shed in the corner of an existing building Paid $360,000 in monthly salaries Paid $25,000 for routine maintenance on equipment Paid $110,000 for major repairs If all transactions were recorded properly, what amount did Johnson capitalize for the year, and what amount did Johnson expense for the year?
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On April 5, Timothy established an interior decorating business, Tim’s Design, with a cash investment ofP200,000. Timothy completed the following transactions for April:6 Paid rent for the month, P8,000.7 Purchased from Delta Co. office equipment, P55,0008 Purchased a used car for P180,000, paying P80,000 cash and taking a bank loan for theremainder.10 Purchased supplies and materials for cash, P11,315.12 Received cash from Miss Laura for job completed in her condo, P57,500. Supplies were used upamounting to P8,250.20 Purchased materials and supplies on credit, P15,000.23 Recorded job completed for Ms. Ferrer. Term: on account 10 days, P14,950. Supplies were usedup amounting to P3,500.24 Received an invoice for repairs on car and paid P4,500.25 Paid utilities expense, P1,750.26 Paid P20,000 on the bank loan.27 Received cash from Ms. Ferrer, P10,000.28 Paid salary of worker, P5,00029 Paid Delta a portion of the amount owed for equipment, P5,000.30 Withdrew cash for personal use, P3,500.…
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