ACCOUNTING FOR NON-ACCOUNTANTS

FINAL EXAMINATION

Name:____________________________________________ Date:___________Score:________

On March 1, 2006, Marlon Cabance, a recent medical board topnotcher, started hid medical practice. During
the month of March, the following transactions were completed:

Mar. 1 Cabance invested P42,500.00 personal funds in a new bank account in the name of Marlon
Cabance, M.D.
2 Acquired medical equipment costing P95,000.00 from Tambilo Medical Equipment Company,
paying P15,000 in cash, and financing the remainder by issuing a P80,000 note payable.
3 Paid rent for the month of March, P7,500.00.
5 Acquired medical supplies from Suiza Medical Supply Company on account, P15,250.00
7 Received P18,450.00 in cash from patients for medical service rendered this week
9 Paid Pablo for preparing laboratory work on a patient, P1,800.00.
12 Paid salaries of medical technician and receptionist, P9,600.00
15 Billed patients P51,700.00 for services rendered.
17 Paid Suiza Medical Supply Company P3,750.00 on account.
20 Paid telephone expense, P850.00
21 Paid miscellaneous expense, P1,150.00
22 Received P27,500 from patients billed on Mar. 15.
23 Acquired additional medical supplies from Suiza Medical Supply Company on account,
P9,100.00
25 Paid salaries, P11,200.00
26 Billed patients P40,150.00 for services rendered.
27 Paid Suiza Medical Supply Company, P6,150.00 on account.
28 Withdrew P15,000.00 from the medical practice.

Required:
1. Prepare Chart of Accounts
2. Prepare the journal entries for the March transactions.
3. Post the entries to the ledger accounts, using account numbers for cross-reference and using journal
page number 1.

The following accounts will be needed: Cash 110; Accounts Receivable 120; Medical Supplies 130;
Medical Equipment 140; Notes Payable 210; Accounts Payable; 220; Cabance, Capital 310; Cabance,
Withdrawals 320; Medical Revenues 410; Salaries Expense 510; Rent Expense 520; Laboratory Expense
530; Telephone Expense 540; Miscellaneous Expense 550.

4. Prepare a trial balance

5. Prepare financial report such as: Income statement, Changes in Equity and balance sheet

TRIVIA: What is this word? Arrange the mixed up letters to form a word. OIGEOBOURSIE

An affluent middle-class people characterized as conventional, conservative, or materialistic in outlook.