Imee Company

Statement of Comprehensive Income

For the period ended December 31, 2019
(Amounts in Philippine Peso)
(Rounded to nearest Peso)

Notes
Net Sales 1 ₱ 7,450,000
Less: Cost of Sales 2 ₱ 5,120,000
Gross Income/Profit ₱ 2,330,000
Less: Operating Expenses:
Distribution/Selling Expense 3 ₱ 830,000
General and Administrative Expense 4 ₱ 590,000 ₱ 1,420,000
Operating Income ₱ 910,000
Other Income 5 ₱ 210,000
Less: Other Expenses 6 ₱ 300,000
Net Income Before Tax ₱ 820,000
Less: Income Tax Expense ₱ 120,000
Net Income ₱ 700,000
Other Comprehensive Income 7 ₱ 800,000
Total Comprehensive Income ₱ 1,500,000
Notes to Financial Statement

Note 1 - Net Sales

Sales ₱ 7,500,000
Less: Sales returns and allowances ₱ 50,000
Net sales ₱ 7,450,000

Note 2 - Cost of Sales

Raw Materials, Beginning ₱ 200,000
Add: Net Purchases ₱ 3,000,000
Less: Raw Materials, Ending ₱ 280,000
Raw Materials Used ₱ 2,920,000
Direct Labor ₱ 950,000
Factory Overhead:
Indirect Labor ₱ 250,000
Salaries Expense - Factory Supervisor ₱ 210,000
Utilities Expense - Factory ₱ 320,000
Rent Expense - Factory Building ₱ 120,000
Repair and Maintenance - Factory machine ₱ 50,000
Factoru Supplies Used ₱ 110,000
Depreciation Expense - Factory Machinery ₱ 60,000 ₱ 1,120,000
Total Manufacturing Cost ₱ 4,990,000
Add: Goods in Process, Beginning ₱ 240,000
Total Cost of Goods Placed in Process ₱ 5,230,000
Less: Goods in Process, Ending ₱ 170,000
Total Cost of Goods Manufactured ₱ 5,060,000
Add: Finished Goods, Beginning ₱ 360,000
Total Goods Available for Sale ₱ 5,420,000
Less: Finished Goods, Ending ₱ 300,000
Cost of Goods Sold ₱ 5,120,000

Note 3 - Distribution/Selling Expense

Salaries Expense - Sales Department ₱ 400,000
Advertising Expense ₱ 160,000
Depreciation Expense - Store Equipment ₱ 70,000
Delivery Expenses ₱ 200,000
Total Distribution/Selling Expenses ₱ 830,000

Note 4 - General and Administrative Expenses

Office Salaries ₱ 150,000
Depreciation Expense - Office Equipment ₱ 40,000
Accounting and Legal Fees ₱ 150,000
Office Expenses ₱ 250,000
Total Administrative Expenses ₱ 590,000
Note 5 - Other Income
Interest Income ₱ 10,000
Gain on Sale of Equipment ₱ 100,000
Gain on Sale of Machince ₱ 100,000
Total Other Income ₱ 210,000

Note 6 - Other Expenses

Loss from Fire ₱ 300,000

Note 7 - Other Comprehensive Income

Revaluation Surplus ₱ 450,000
Unrealized Gain ₱ 350,000
Total Other Comprehensive Income ₱ 800,000
 Imee Company
Statement of Changes in Equity
For the period ended December 31, 2019
(Amounts in Philippines Peso)
(Rounded to nearest Peso)

Share Capital Reserves Retained Earnings

Beginning Balance ₱ 10,000,000 ₱ 7,500,000 ₱ 3,250,000
Comprehensive Income
Net Income ₱ 700,000
Other Comprehensive Income ₱ 800,000
Issuance of Share Capital ₱ 500,000 ₱ 300,000
Dividends Declared ₱ (300,000)
Appropriation for Future Expansion ₱ 500,000 ₱ (500,000)
Prior Period Error ₱ (50,000)
Ending Balance ₱ 10,500,000 ₱ 9,100,000 ₱ 3,100,000
 Total
₱ 20,750,000

₱ 700,000
₱ 800,000
₱ 800,000
₱ (300,000)

₱ (50,000)
₱ 22,700,000