EMILIO AGUINALDO COLLEGE

Gov. D. Mangubat Ave., Brgy. Burol Main, City of Dasmariñas, Cavite 4114, Philippines
Tel. Nos. (046) 416-4339/41 www.eac.edu.ph

SENIOR HIGH SCHOOL

FUNDAMENTALS OF ACCOUNTANCY, BUSINESS, AND MANAGEMENT 2

EZ PROBLEM SET NO. 2.1
General Instruction: Analyze the comprehensive problem carefully. Kindly use the
columnar pad in performing the accounting cycle. Write legibly to easily understand the
output.
Listed below are the February 1, 2019 account balances of the Teresita Buenaflor Shoes:

110 Cash P 33,000

120 Accounts Receivable 192,000
130 Merchandise Inventory 413,000
140 Supplies 51,000
150 Prepaid Insurance 48,000
160 Land 460,000
170 Building 1,750,000
175 Accumulated Depreciation – Building P 350,000
180 Equipment 2,310,000
185 Accumulated Depreciation - Equipment 630,000
210 Accounts Payable 108,000
220 Salaries Payable
230 Mortgage Payable 2,600,000
310 Buenaflor, Capital 1,569,000
320 Buenaflor, Withdrawals
330 Income Summary
410 Sales
420 Sales Returns and Allowances
430 Sales Discounts
510 Purchases
520 Purchases Returns and Allowances
530 Purchases Discounts
540 Transportation In
610 Salaries Expense
620 Supplies Expense
630 Insurance Expense
640 Depreciation Expense - Building
650 Depreciation Expense - Equipment
660 Transportation Out
670 Advertising Expense
680 Interest Expense
690 Miscellaneous Expense
P 5,257,000 P 5,257,000
 EMILIO AGUINALDO COLLEGE
Gov. D. Mangubat Ave., Brgy. Burol Main, City of Dasmariñas, Cavite 4114, Philippines
Tel. Nos. (046) 416-4339/41 www.eac.edu.ph

SENIOR HIGH SCHOOL

During the month of February 2019, the following transactions occurred:

Feb. 1 Collected P 113,000 from customers on account.
2 Paid P 64,000 of accounts due less discounts 3%
4 Purchased merchandise, P 170,000. Terms: FOB shipping point; 3/10, n/30.
5 Sold merchandise on account to Gonzales, Inc., P 270,000. Terms: FOB shipping
point; 2/10, n/30.
7 Paid for advertising for the month of February, P 6,000.
7 Sold merchandise for cash, P 250,000.
8 Paid the amount due from the Feb. 4 transaction.
9 Paid Iloilo Freight P 4,000 for delivering merchandise last Feb. 4.
10 Received returns from Gonzales Inc., P 70,000.
12 Received from Gonzales Inc. less returns and discounts.
14 Paid P 26,000 interest on the mortgage payable.
15 Paid salaries, P 51,000.
16 Sold merchandise to Ronzales Corp., P 392,000. Terms: FOB Destination; 2/10,
n/30.
18 Paid P 4,000 freight charges on the sale of Feb. 16.
19 Acquired supplies for cash, P 21,000.
20 Purchased P 125,000 of merchandise from Lozada Imports on account. Terms:
FOB Destination; 3/10, n/30.
22 Paid P 7,000 miscellaneous expense.
23 Received payment form Ronzales Corp. less discounts.
24 Purchased P 373,000 of merchandise on account from Agustin Enterprises.
Terms: FOB Shipping Point; 3/10, n/30.
24 Paid La Paz Express P 9,000 freight for delivering merchandise acquired from
Agustin.
25 Sold merchandise to Ronzales Corp., on account P420,000. Terms: FOB
Shipping Point; 2/10, n/30.
26 Received returns from Ronzales Corp., P 71,000.
28 Buenaflor withdrew P 400,000 from the business.
28 Returned purchased merchandise from Agustin on Feb. 24, P 25,000.

Required:
1. Post the February 1, 2019 account balances to the ledger accounts.
2. Record the transactions for the month of February in a journal, and post the transactions
to the ledger.
3. Prepare a trial balance.