Student Number:

Name:

Note: No erasures and/or superimposition, any form of erasures or superimposition will invalidate your answer.
You may use pencil, but your final answers must be in black ballpen. Use uppercase letters.

Test I Journalizing of Adjusting Entries (22 points)

Prepare the adjusting entries for the fiscal year ended June 30, 2019 under each of the following
independent cases:

1 Aging of accounts receivable showed a balance of P6,000 doubtful accounts at year-end. The unadjusted
allowance for doubtful accounts at the end of the year is P2,000.

Particulars Debit Credit

2 3% of the accounts receivable balance of P180,000 is deemed uncollectible. The unadjusted allowance for
doubtful accounts at the end of the year is P2,000

Particulars Debit Credit

3 During they year, acquisition of supplies amounting to P16,000 were recorded to Supplies on Hand account.
Physical count of supplies at the end of the year showed a balance of P4,500. There were no supplies on
hand when the year started.

Particulars Debit Credit

4 3% of the Service Revenue earned amounting to P450,000 is deemed uncollectible. The unadjusted
allowance for doubtful accounts at the end of the year is P3,300.

Particulars Debit Credit

5 During the year, acquisition of supplies amounting to P14,000 were recorded to Supplies on Hand account.
Physical count of supplies at the end of the year showed a balance of P3,900. At the start of the fiscal year,
supplies on hand showed a balance of P2,100.

Particulars Debit Credit

6 During the year, acquisition of supplies amounting to P15,500 were recorded to Supplies Expense account.
Physical count of supplies at the end of the year showed a balance of P4,200. There were no supplies on
hand when the year started.

Particulars Debit Credit

7 Andy Lim's MAD-ILIM FUTURE Services owns an equipment with a monthly depreciation of P2,200. The
 equipment's useful life ended on February 1, 2019. The cost of the equipment is P440,000.

Particulars Debit Credit

8 Tina Go's Hide-N-Seek Services owns an equipment with an annual depreciation of P24,000. The
equipment's useful life ended on March 1,2019. The cost of the equipment is P480,000.

Particulars Debit Credit

9 Mally Vogues's Note-Tee Services collected P45,000 on April 1,2019 from a customer for services to be
rendered during the months of June, July and August of the year 2019. The collection was credited to
Service Income account

Particulars Debit Credit

10 Boo Wang's Right-N-Left Jab Boxing Gym collected P60,000 on February 1,2019 from a customer for
services to be rendered during the months of May, June, July and August and September of the year
2019. The collection was credited to Unearned Service Income account.

Particulars Debit Credit

11 Depreciation per year of Furnitures and Fixtures is P10,000. The Furnitures and Fixtures were all acquired
on January 1, 2019 at P100,000.

Particulars Debit Credit

12 The book value of Sam Paul's Transportation Services as of the end of the current year should be P125,000.
The transportation service was bought on July 1, 2017 at a cost of P150,000. The equipment has no salvage
value.

Particulars Debit Credit

13 Salaries have remained unpaid for 9 working days to 18 employees. 7 of the employees are paid P500
per day and the rest are paid P200 per day.

Particulars Debit Credit

14 Allan Dy's Love-Ender Perfume Shop entered into a lease agreement with 4-Rent, Inc. on August 1, 2018
for rental of office space for two years totalling to P60,000. Another lease agreement was signed on
February 31, 2019 for office space of a second branch for 12 months amounting to P36,000. Both lease
contracts were debited to Rent Expense account

Particulars Debit Credit

15 Anne Lhan Dy's Floral Shop entered into a lease agreement with Edward Cole Lyn on December 1, 2018 for
rental of space for her Floral Shop for 2 years totalling to P48,000. Another lease agreement was signed
on January 1, 2019 the space of her Floral Shop's second branch for 12 months amounting to P24,000.
Both lease agreements were paid upon signing and payments were debited to Prepaid Rent account

Particulars Debit Credit

16 Dina Macuja paid an advance interest on a bank loan maturing on September 30, 2019. The advance
interest payment of P7,200 was debited to Interest Expense account on May 1, 2019.

Particulars Debit Credit

17 Annabelle Latt paid an advance interest on a bank loan maturing on October 31, 2019. The advance
interest payment of P6,000 was debited to Prepaid Interest account on June 1, 2019.

Particulars Debit Credit

18 Benny Bilang Company borrowed P810,000 from Bank Rupt Nah on April 1, 2019 and issued a 12%
one-year promissory note. Interest is to paid upon maturity.

Particulars Debit Credit

19 On, April 1, 2019, Lucky T. Tiñio's So Lucky Me Services paid P33, 000 for a five-month insurance premium
starting on the same day. The paymnet was debited to Insurance Expense account

Particulars Debit Credit

20 On April 30, 2019, Malou Wang's Tight Schedule Services paid P27,000 for a three-month insurance
premium starting on the same day. The payment was debited to Prepaid Insurance account.

Particulars Debit Credit

21 A customer's note dated May 1, 2018 amounting to P46,000 bears an interest of 12% per annum . The
note will mature on July 31, 2019.

Particulars Debit Credit

22 The equipment account has a balance of P375,000. They are estimated to be useful for 10 years.
P175,000 of the equipment were acquired on July 1, 2018. The balance of the equipment was acquired
on January 1 of the current fiscal year.
 Particulars Debit Credit