Scribd Logo
Upload

Welcome to Scribd!

  • 1K views

    Seatwork Fabm1 Accounting Equation

    Uploaded by

    Mylene Salvador
    The document lists 10 business transactions for Puring Company during its first month of operations: 1) The owner invested ₱300,000 cash in the business. 2) Equipment was purchased for ₱50,000 cash and inventories for ₱35,000 on credit. 3) Sales of ₱17,000 were made, with ₱12,000 in cash sales and ₱5,000 in credit sales. The cost of these sales was ₱8,500.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd

    Seatwork Fabm1 Accounting Equation

    Uploaded by

    Mylene Salvador
    1K views2 pages
    The document lists 10 business transactions for Puring Company during its first month of operations: 1) The owner invested ₱300,000 cash in the business. 2) Equipment was purchased for ₱50,000 cash and inventories for ₱35,000 on credit. 3) Sales of ₱17,000 were made, with ₱12,000 in cash sales and ₱5,000 in credit sales. The cost of these sales was ₱8,500.

    Original Title

    Seatwork fabm1 Accounting equation.docx

    Copyright

    © © All Rights Reserved

    Available Formats

    DOCX, PDF, TXT or read online from Scribd

    Did you find this document useful?

    Is this content inappropriate?

    The document lists 10 business transactions for Puring Company during its first month of operations: 1) The owner invested ₱300,000 cash in the business. 2) Equipment was purchased for ₱50,000 cash and inventories for ₱35,000 on credit. 3) Sales of ₱17,000 were made, with ₱12,000 in cash sales and ₱5,000 in credit sales. The cost of these sales was ₱8,500.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
    1K views2 pages

    Seatwork Fabm1 Accounting Equation

    Uploaded by

    Mylene Salvador
    The document lists 10 business transactions for Puring Company during its first month of operations: 1) The owner invested ₱300,000 cash in the business. 2) Equipment was purchased for ₱50,000 cash and inventories for ₱35,000 on credit. 3) Sales of ₱17,000 were made, with ₱12,000 in cash sales and ₱5,000 in credit sales. The cost of these sales was ₱8,500.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
    of 2

    Individual Activity FABM1 (Accounting Equation)

    Listed below are ten business transactions for Puring Company during its first month of operations:
    a. Owner invested cash in the business amounting to P300,000
    b. Purchased equipment for cash amounting to P50,000
    c. Purchased inventories through credit amounting to P35,000
    d. Purchased furniture amounting to P30,000. Made partial payment with cash P10,000 and incurred an accounts
    payable for the balance P20,000
    e. Paid cash to the local government for business permit P9,000
    f. Made sales of P17,000 (P12,000 cash sales, P5,000 credit sales)
    g. The cost of sales made in (f) amounted to P8,500
    h. Paid accounts payable in (d)
    i. Collected P2,500 out of the P5,000 credit sales in (f)
    j. Paid employee P12,000

    Indicate the effects of the given transactions on each of the financial statement elements in the table shown below. The
    answer for transaction (a) is given as an example.

    ASSETS = LIABILITIES + EQUITY REVENUES EXPENSES


    a P + 300,000 P + 300,000
    = +
    b
    = +

    c
    = +

    d
    = +

    e
    = +
    f
    = +

    g
    = +

    h
    = +
    i
    = +

    j
    = +
    On the transaction summary table below, indicate the effect of each transaction on each account. Put “ + “ if the account
    has increased or “ – “ if the account has decreased. Put the amount of increase or decrease for each account.

    ASSETS = LIABILITIES + OWNER'S EQUITY


    Accounts Office Accounts Loan Jane, Revenues Expenses
    Cash Receivable Equipment Payable Payable Capital
    1. Jane invested P200,000
    = +
    cash.
    2. Rendered services to
    = +
    Mr. Lee on account, P10,000
    3. Cash services to clients,
    = +
    P22,000.
    4. Bought P30,000 worth of
    = +
    office equipment on account.
    5. Paid electric bill to Meralco,
    = +
    P1,800.
    6. Mr. Lee paid 50%
    = +
    (transaction #2)
    7. Proceeds from bank loan,
    = +
    P50,000.
    8. Cash collections from
    = +
    various customers, P18,000
    9. Jane withdrew P10,000
    = +
    for personal use.
    10. Paid the office equipment
    = +
    in full.
    11. Paid secretary's salary,
    = +
    P4,000
    12. Paid 25% of the bank loan
    = +
    13. Jane made an additional
    = +
    investment, P20,000
    14. Paid monthly rent
    = +
    P5,000.
    15. Paid interest on bank loan
    = +
    P420.

    You might also like