Purchased five units of copiers on account from Machina Corp at a cost of PHP8,000 per unit. Payment is due 30 days after Borrowed from Nation Bank, PHP50,000 at 10% interest per annum due in three months . Canto issued a promissory note for this borrowing. Paid one -year insurance covering the period Sept 1, 2016 – August 31, 2017 for Sep 1 PHP24,000 Sep 2 Purchased 10 units of facsimile machines on cash from Tiktac Corp for a total price of PHP20,000 Sold three units of copiers to Jane Nay on account for a total amount PHP45,000. The terms of the sale is 2/10, n 30. Paid PHP5,600 for office supplies Sep 7 Sep 10 Sep 14 Sep 15 Collected from Jane Nay the full amount relating to September 7 sales Paid PHP10,000 salaries of office staff Sep 20 Sold on cash, two units of facsimile machines to Juan for PHP5,000 Purchased delivery truck worth PHP300,000 with an estimated useful life of 10 years with no residual value. Canto paid PHP200,000 cash and balance payable 30 days Sep 30 after. Instructions: 1. Prepare journal entries to record the above transactions, assuming Canto uses periodic inventory system.

Purchased five units of copiers on account from Machina Corp at a cost of PHP8,000 per unit. Payment is due 30 days after Borrowed from Nation Bank, PHP50,000 at 10% interest per annum due in three months . Canto issued a promissory note for this borrowing. Paid one -year insurance covering the period Sept 1, 2016 – August 31, 2017 for Sep 1 PHP24,000 Sep 2 Purchased 10 units of facsimile machines on cash from Tiktac Corp for a total price of PHP20,000 Sold three units of copiers to Jane Nay on account for a total amount PHP45,000. The terms of the sale is 2/10, n 30. Paid PHP5,600 for office supplies Sep 7 Sep 10 Sep 14 Sep 15 Collected from Jane Nay the full amount relating to September 7 sales Paid PHP10,000 salaries of office staff Sep 20 Sold on cash, two units of facsimile machines to Juan for PHP5,000 Purchased delivery truck worth PHP300,000 with an estimated useful life of 10 years with no residual value. Canto paid PHP200,000 cash and balance payable 30 days Sep 30 after. Instructions: 1. Prepare journal entries to record the above transactions, assuming Canto uses periodic inventory system.

Financial Accounting: The Impact on Decision Makers

10th Edition

ISBN:9781305654174

Author:Gary A. Porter, Curtis L. Norton

Publisher:Gary A. Porter, Curtis L. Norton

Chapter9: Current Liabilities, Contingencies, And The Time Value Of Money

Section: Chapter Questions

Problem 9.9MCP

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