Taxes and Licenses, P20,000; Salaries of Attendants,s on account from AMESCO, P11Company, PS1- Bought gasoline:P30,0002- Rendered transpcity to watch theCash10,000On account3- Paid businessOffice,P15,0007-- Rental revenuLoboc River a18 - Bought medical suppliesP40,00070,0008- Received aCashaccount, P15On account9- Paid in adva30 - Paid the following expenses:10 - Bought spa14 - Rental revand Utilities Expense, P40,000.Cash, P25On accou5-5- Payment15 - Paid driJournalizing Service Concern Transactions16 - Check-umirror,Mr. Henry Labasan is engaged in a Rent-A-Car business to cater touristeTagbilaran City. His investment consisted of the following:17 - Receiwaccou2 units Toyota Van - P2,000,000Cash which he deposited with RCBC, P50,00022- ReceibeenChart of Accounts- RenAssetsOwner's EquityH. Labasan, CapitalH. Labasan, DrawingCash in BankAccounts ReceivablePaTires and Tubes InventoryPrepaid InsuranceTransportation Equipment23 - CcIncomeRental Revenue24 - PLiabilitiesAccounts PayableUnearned Rental RevenueExpensesGasoline and 0ilTaxes and LicensesCommission ExpenseRepairs and Mainten25- F26-176 Ascbana ThanaoctionsTransactions:- Bought gasoline and oil for the 2 units Toyota Van, P3,500.May2- Rendered transportation service to various tourists who roamed around thecity to watch the Sandugo Festival, P20,000.3Paid business permits and licenses including that of the Land TransportationOffice,P15,00,7-- Rental revenue for the week from tourists for visiting Panglao Beach Resort,Loboc River and Chocolate Hills, P12,00o.8- Received a bill from Petron Service Center for gasoline withdrawn onaccount, P15,000.9- Paid in advance car insurance (on damaged and third party liability) P7,300.10- Bought spare tire on account from Tagbilaran Dura-Trac, P8,500.14 - Rental revenue for the week:Cash, P25,000On account, P10,000- Payment of the Petron Service Center bill, P15,000.15- Paid drivers' commission for the week, P7,000.16 - Check-up of Toyota Van and replacement of exploded tire and repair of sidemirror, P3,500.17. Received a bill from Petron Service Center for gasoline withdrawn onaccount, P17,500.22 - Received cash of P15,000 from Cebu Lions Club for services that has not yetbeen rendered.Rental revenue for the week:Cash, P12,000On account, P15,000- Paid driver's commission, P7,000.23 - Collected the customer's account of May 14, P10,000.25 - Paid the account of May 10 with Tagbilaran Dura-Trac in the amount ofP8,500.24 - Partial payment of account with Petron Service Center, P12,000.17726 - Received P2,800 as paynent for a special trip to Baclayon Church.ment

Mr. Henry Labasan engaged in business of Rent-A-Car. Investments : 2 Toyota van - P2,000,000 Cash…

Mr. Henry Labasan is engaged in a Rent-A-Car business to cater touriste Tagbilaran City. His investment consisted of the following: 2 units Toyota Van - P2,000,000 Cash which he deposited with RCBC, P50,000 Chart of Accounts

Mr. Henry Labasan is engaged in a Rent-A-Car business to cater touriste Tagbilaran City. His investment consisted of the following: 2 units Toyota Van - P2,000,000 Cash which he deposited with RCBC, P50,000 Chart of Accounts

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter12: Current Liabilities

Section: Chapter Questions

Problem 1PA: Consider the following situations and determine (1) which type of liability should be recognized...

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