Inventory Turnover Ratio

Accounts Payable Turnover Ratio

December 1 R. Alvarez invested cash for the business, P 750,000

Purchased merchandise on account, P 85,000 to Ace Merchandising with terms 1/10, n/20.
2 Purchased merchandise from Logarto Wholesaler, P25,000,with terms 2/10, 1/20, n/30
3 Sold merchandise for cash, P 18,000. Cost of goods sold P 13,500.
4 Purchased store equipment for P 16,000 on credit from Durable Store.
Terms: P3,000 down, balance 2/20, 1/30, n/60.
5 Returned to Logarto Wholesaler P1,800 worth of defective products.
6 Durable Store sent a credit memo for a defect on store equipment, P2,000.
7 Sold P 25,000 merchandise on credit to Belano. Terms: 2/10, 1/20, n/30. Cost of goods
sold P 11,800.
8 Received cash from customers, P 23,800. Actual cost of goods sold P 18,200.
9 Purchased additional merchandise from Espiritu, P15,000. Terms: P2,500 down,
balance 1/10, n/20.
10 Made a partial payment of P10,000 to Logarto Wholesaler.
12 Belano returned defective merchandise, P1,500.
18 Received from Belano the full payment of its account.
19 Paid in full the account due to Espiritu.
25 Paid the account due to Logarto Wholesaler.
27 Paid the balance to Durable Store.
28 Sold merchandise for cash , P 91,500. Cost of goods sold P 73,600.
30 Paid cash for the following:
Employees’ Salaries – P 23,000
Electricity Bill – P 5,984.96
Water Bill – P 3,212.24
Internet – P 1,999.99