Mr. Ramirez has started operating as a service business in 2019. His company, EN- Company, is engaged in providing services to its clients.
Mr. Ramirez has started operating as a service business in 2019. His company, EN- Company, is engaged in providing services to its clients. The following were EN- Company's transactions in April 2019.
1 Invested P700,000 in the business.
3 Went to various government agencies to register the business. VTS Company paid P10,000.
6 Purchased supplies worth P100,000, paid in cash.
7 Purchased supplies worth P20,000, on account.
11 Rendered services to various clients for P60,000, received in cash.
12 Rendered services to various clients for P20,000, on account.
14 Paid the salary of employee for the first half of the month, P4,000.
17 Paid the supplier half of the total amount in April 7 transaction.
21 Received a promissory note from the client on April 12 transaction, who was not able to pay within eight days from the date of the transaction. Principal amount of P20,000 with interest of P2,000.
25 Received payment on the promissory note of April 21.
29 Purchased equipment worth P100,000 by issuing a promissory note.
30 Paid the salary of employee for the second half of the month, P4,000.
31 - Paid Meralco and Maynilad for the utility bills totaling P5,000.
- Withdrew P12,000 from the business for personal use.
Requirements
1. Journalize the above transanctions using the following account titles:
Cash
Notes Receivable
Supplies
Accounts Payable
V, Capital
V, Drawing
Service Income
Interest Income
Salaries Expense
Taxes and License Expense
Supplies Expense
2.
3. Prepare the unadjusted
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