Financial Accounting Project: 1. The owner, Josef Miguel, invested Php250,000 cash in the business. He registered the business with the following expenditures: a. Mayor’s permit, Php5,000 b. DTI registration, Php600 c. BIR/TIN Registration, Php500 d. Transportation during the processing of registration, Php300 2. After the business permit was taken, he started the business with the following cash expenditures: a. Paid in cash rent of office space, Php24,000 b. Paid insurance, Php60,000 c. Purchased supplies, Php3,000 d. Purchased of second-hand delivery truck, Php150,000 3. Total delivery income for the month, Php300,000 of which 40% are on account. 4. Received cash advance amounting to Php180,000 for delivery services to be rendered in 18 months. 5. Billed customers for services rendered, Php45,000. 6. Expenses paid / incurred during the month were as follows: a. Salaries, Php40,000 b. Utilities, Php2,000 c. Transportation, Php3,000 d. Telephone, Php6,000 7. Collected 50% of transaction no. 3 8. Withdrew cash Php20,000 Requirement No.4: Prepare the formal financial statements. a. Statement of Comprehensive Income / Profit or Loss b. Statement of Changes in Equity c. Statement of Financial Position d. Statement of Cash Flows Requirement No.5: Close the nominal accounts Requirement No.6: Prepare a post-closing trial balance
Financial Accounting Project:
1. The owner, Josef Miguel, invested Php250,000 cash in the business. He registered the
business with the following expenditures:
a. Mayor’s permit, Php5,000
b. DTI registration, Php600
c. BIR/TIN Registration, Php500
d. Transportation during the processing of registration, Php300
2. After the business permit was taken, he started the business with the following cash
expenditures:
a. Paid in cash rent of office space, Php24,000
b. Paid insurance, Php60,000
c. Purchased supplies, Php3,000
d. Purchased of second-hand delivery truck, Php150,000
3. Total delivery income for the month, Php300,000 of which 40% are on account.
4. Received cash advance amounting to Php180,000 for delivery services to be rendered in
18 months.
5. Billed customers for services rendered, Php45,000.
6. Expenses paid / incurred during the month were as follows:
a. Salaries, Php40,000
b. Utilities, Php2,000
c. Transportation, Php3,000
d. Telephone, Php6,000
7. Collected 50% of transaction no. 3
8. Withdrew cash Php20,000
a. Statement of Comprehensive Income / Profit or Loss
b. Statement of Changes in Equity
c.
d. Statement of Cash Flows
Requirement No.5: Close the nominal accounts
Requirement No.6: Prepare a post-closing
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