Name: Maryel Isabella N.

Palattao 10/14/20
Year Level & Section: 1-C
Subject: Financial Accounting and Reporting

1. Analyze and record each business transaction to the general journal.

Journal Entries
Date Account Titles and Explanation Debit Credit
2019
Oct. 1 Cash P350,000
Bacon, Capital P350,000
To record initial investment of the
owner
Oct. 2 Cash P225,000
Notes Payable P225,000
To record acquired additional funds

Oct. 8 Office Equipment P54,000

Cash P54,000
To record acquired office equipment

Oct. 10 Photography Equipment P75,000

Cash P75,000
To record acquired photography
equipment
Oct. 12 Supplies P21,000
Accounts Payable P21,000
To record photography supplies
purchased
Oct. 13 Cash P11,400
Service Revenue P11,400
To record received cash from
customers for portrait service
Oct. 17 Accounts Receivable P22,500
Service Revenue P22,500
To record acquired photography
equipment
Oct. 19 Accounts Payable P10,500
Cash P10,500
To record payment for purchased
supplies on credit
 Oct. 25 Utilities Expense P3,600
Cash P3,600
To record payment for electricity bill

Oct. 26 Telecommunication Expense P2,100

Cash P2,100
To record payment for telephone bill

Oct. 28 Cash P7,500

Accounts Receivable P7,500
To record received payment from
customers
Oct. 29 Salaries Expense P12,000
Cash P12,000
To record payment of salaries to
personnel
Oct. 30 Cash P1,500
Unearned Service Revenue P1,500
To record advanced payment
received from customer
Oct. 31 Bacon, Withdrawals P16,000
Cash P16,000
To record owner’s withdrawals

2. Post the journal entries using T-accounts.

ASSETS
CASH
2019 Oct.1 P350,000 P54,000 Oct. 8
Oct. 2 P225,000 P75,000 Oct. 10
Oct. 13 P11,400 P10,500 Oct. 19
Oct. 28 P7,500 P3,600 Oct. 25
Oct. 30 P1,500 P2,100 Oct. 26
P12,000 Oct. 29
P16,000 Oct. 31

P595, 400 P173,200

Ending Balance
P422,200

ACCOUNTS RECEIVABLE
 2019 Oct.17 P22,500 P7,500 Oct. 28

Ending Balance P15,000

SUPPLIES
2019 Oct.12 P21,000

Ending Balance P21,000

OFFICE EQUIPMENT
2019 Oct.8 P54,000

Ending Balance P54,000

PHOTOGRAPHY EQUIPMENT
2019 Oct.10 P75,000

Ending Balance P75,000

LIABILITIES
ACCOUNTS PAYABLE
2019 Oct.19 P10,500 P21,000 Oct. 12

Ending Balance P10,500

UNEARNED SERVICE REVENUE

2019 P1,500 Oct. 30
Ending Balance P1,500

NOTES PAYABLE
2019 P225,000 Oct. 2
Ending Balance P225,000

OWNER’S EQUITY
BACON, CAPITAL
2019 P350,000 Oct. 1
Ending Balance P350,000

BACON, WITHDRAWALS
 2019 Oct. 31 P16,000
Ending Balance
P16,000

INCOME
SERVICE REVENUE
2019 P11,400 Oct. 13
P22,500 Oct. 17

Ending Balance P33,900

EXPENSES
UTILITIES EXPENSE
2019 Oct. 25 P3,600
Ending Balance P3,600

TELECOMMUNICATION EXPENSE
2019 Oct. 26 P2,100
Ending Balance P2,100

SALARIES EXPENSE
2019 Oct. 29 P12,000
Ending Balance P12,000

3. Prepare the unadjusted trial balance.

Just Pics Photographs
Unadjusted Trial Balance
October 31, 2019
Accounts Debit Credit

Cash P422,200
Accounts Receivable P15,000
Supplies P21,000
Office Equipment P54,000
Photography Equipment P75,000
Accounts Payable P10,500
Unearned Service Revenue P1,500
Notes Payable P225,000
Bacon, Capital P350,000
Bacon, Withdrawals P16,000
Service Revenue P33,900
Utilities Expense P3,600
Telecommunication Expense P2,100
Salaries Expense P12,000
TOTAL P620,900 P620,900

4. Analyze the adjustments, prepare adjusting entries and make an Adjusted Trial Balance.
a.
General Journal
Adjusting Entries
Date Account Titles Debit Credit
2019
Oct. 31 Interest Expense P1,500.00
Interest Payable P1,500.00

b.
General Journal
Adjusting Entries
Date Account Titles Debit Credit
2019
Oct. 31 Depreciation Expense P3,125.00
Accumulated Depreciation – P3,125.00
Photography Equipment

c.
General Journal
Adjusting Entries
Date Account Titles Debit Credit
2019
Oct. 31 Depreciation Expense P1,250.00
Accumulated Depreciation – P1,250.00
Office Equipment
 General Journal
Adjusting Entries
Date Account Titles Debit Credit
2019
Oct. 31 Supplies Expense P15,000.00
Supplies P15,000.00
d.

e.
General Journal
Adjusting Entries
Date Account Titles Debit Credit
2019
Oct. 31 Unearned Service Revenue P1,500.00
Service Revenue P1,500.00

Just Pics Photographs

Adjusted Trial Balance
October 31, 2019
Accounts Debit Credit
Cash P422,200
Accounts Receivable P15,000
Supplies P6,000
Office Equipment P54,000
Accumulated Depreciation – Office Equipment P3,125
Photography Equipment P75,000
Accumulated Depreciation – Photography Equipment P1,250
Accounts Payable P10,500
Interest Payable P1,500
Notes Payable P225,000
Bacon, Capital P350,000
Bacon, Withdrawals P16,000
Service Revenue P35,400
Depreciation Expense P4,375
Utilities Expense P3,600
Telecommunication Expense P2,100
Supplies Expense P15,000
Interest Expense P1,500
Salaries Expense P12,000
TOTAL P626,775 P626,775