Problem 1-1 Albania Company

Adjusting Entries
Accounts Receivables ₱200,000.00
Cash in Bank ₱200,000.00

Cash in Bank 250,000.00

Accounts Payable 250,000.00

Cash in Bank 100,000.00

Accounts Payable 100,000.00

Accounts Receivables 450,000.00

Cash in Bank 450,000.00

Cash in Bank ₱2,700,000.00

Time deposit - 30 days 1,000,000.00
Petty Cash Fund 20,000.00
Total Cash and cash Equivalents ₱3,720,000.00

Saving deposit ₱100,000.00 Receivables

Money Market Placement Deposit due 2,000,000.00 Short Term Investment
Sinking Fund for Bonds Payable 1,500,000.00 Long Term Investment
Problem 1-2 Argentina Company

Adjusting Entries
Accounts Receivables ₱150,000.00
Cash in Bank ₱150,000.00

Variuos Expenses 10,000.00

Receivable from Employees 5,000.00
Petty Cash Fund 15,000.00

Cash on Hand ₱850,000.00

Petty cash fund 35,000.00
Security Bank - current 2,000,000.00
PNB Current 1,500,000.00
Bond Sinking Fund 2,500,000.00
Total Cash and cash Equivalents ₱6,885,000.00

BDO current account (overdraft) (200,000.00) Current Liability

BSP Treasury Bill 3,000,000.00 Short term Investment
BPI time deposit 2,000,000.00 Long term investment
Problem 1-3 Armenia Company

Adjusting Entries
a. Accounts Receivable ₱100,000.00
Cash on hand ₱100,000.00

b. Accounts Receivable 150,000.00

Cash on hand 150,000.00

Receivables from Employees 10,000.00

Cash short or over 5,000.00
Petty Cash Fund 15,000.00

Cash in bank 200,000.00

Accounts Payable 200,000.00

Cash in bank 300,000.00

Accounts Payable 300,000.00

Cash on hand ₱750,000.00

Petty cash 35,000.00
Cash in Bank 4,500,000.00
Saving deposit 2,000,000.00
Total Cash ₱7,285,000.00
Problem 1-4 Callous Company Problem 1-5 Zealous Company

Adjusting Entries Imprest

Accounts Receivables ₱35,000.00 1. Petty Cash Fund
Cash on hand ₱35,000.00 Cash in Bank

Accounts Receivables 15,000.00 2. No entry

Cash on hand 15,000.00
3. Postage
Receivables from Employees 2,000.00 Supplies
Variuos Expenses 12,000.00 Transportation
Cash short or over 1,000.00 Miscellaneous Expense
Petty Cash Fund 15,000.00 Petty Cash Fund
Cash in Bank
Philippine Bank Current 25,000.00
Accounts Payable 25,000.00 Fluctuating
1. Petty Cash Fund
Philippine Bank Current 45,000.00 Cash in Bank
Accounts Payable 450,000.00
2. Postage
Cash on Hand 150,000.00 Supplies
Petty cash fund 5,000.00 Transportation
Philippine Bank Current 5,070,000.00 Miscellaneous Expense
City bank Current (net) 3,900,000.00 Petty Cash Fund
Asia bank Savings 250,000.00
Asia bank time deposit 2,000,000.00 3. Petty cash Fund
₱11,375,000.00 Cash in Bank
 Problem 1-6 Zenith Corporation

Imprest Imprest
10,000.00 1. Petty Cash Fund 10,000.00
10,000.00 Cash in Bank 10,000.00

2. No entry

1,500.00 3. Petty Cash Fund 10,000.00

5,500.00 Postage 1,500.00
1,200.00 Supplies 3,000.00
800.00 Transportation 1,000.00
5,000.00 Accounts Payable 3,500.00
14,000.00 Cash in Bank 19,000.00

Fluctuating Fluctuating
10,000.00 1. Petty Cash Fund 10,000.00
10,000.00 Cash in Bank 10,000.00

1,500.00 2. Postage 1,500.00

5,500.00 Supplies 3,000.00
1,200.00 Petty Cash Fund 4,500.00
800.00
9,000.00 3. Transportation 1,000.00
Accounts Payable 3,500.00
14,000.00 Petty Cash Fund 4,500.00
14,000.00
4. Petty Cash Fund 19,000.00
Cash in Bank 19,000.00