DATE TRANSACTIONS

2022
January

MEMO- The entity was authorized to issue P12,000,000 ordinary share capital divided
1 into 600,000 shares with P20 par and P3,000,000 preferred share capital divided into
120,000 shares with par value of P25

- 500,000 ordinary shares were subscribed

- 250,000 of subscribed ordinary shares were paid-in

11 Z subscribes for 20,000 preferred shares at par P25

3,000 preference shares were issued in payment of legal fees of P100,000 in connecton
12
with organizing the corporation

19 P2,000,000 worth of subscribed ordinary shares were paid by various shareholders

24 Rented an office space worth P5,000 monthly, paid 8 months in advance

The entity acquired tables, chairs, shelves, and other furniture for a total of P35,000 with
30
a cash discount of 2/10, n/30

2022
February

Purchased land and factory building amounted to P3,300,000, 40% of which is allocated
3 to the land, 60% on the building, the building will have a salvage value of P250,000 and
estimated useful life of 50 years.

9 Paid furnitures acquired last January 30

Issued 12,000 ordinary shares in exchange for a machinery worth P250,000 with a
17
salvage value of 20,000 and useful life of 16 years

Hired 10 employees to operate the machineries and start the production, with monthly
23 salary of P15,000 and Hired 5 office workers with monthly salary of 24,000 (work starts
on March 1, 2022)

27 Purchase of raw materials on account for P1,000,000 from Supply.co

2022
March
 2 Bought Factory Supplies for P180,000 cash, good for 10 months of use

4 Z partially paid P200,000 on its subscription

10 Raw materials transferred to work in process inventory amounted to P600,000

The balance of Z's subscription receivable related to subscribed preferred shares has
21
been collected and subsequently issued share certificate

28 Paid the February 27 transaction with Supply.co

31 Paid employee salaries for P270,000, P150,000 of which belongs to direct labor

- Bills received for electricity and water utilities for P3,000

2022
April

5 Paid P59,535 for newspaper advertisement

7 525,000 of the goods from work in process inventory was converted into finished goods

13 Paid P14,000 for an insurance policy for a 1 year coverage

19 Bought Office Supplies for P3,100 cash

Sale on account of 150 goods with selling price of P2,850 each, cost of goods of P1,500
20
per unit

21 Paid utilities from march 31

30 Paid employee salaries for P270,000 cash, P150,000 of which belongs to direct labor

- Paid total Utilities expense amounted to P3,000 cash

2022
May

1 Purchase of raw materials on account for P2,000,000 from Supply.co

10 Raw materials transferred to work in process inventory amounted to P1,500,000

16 Collected P427,500 on accounts receivable from Apr 20 transaction

 The balance of subscription receivable related to subscribed ordinary shares has been
20
collected

1,350,000 of the goods from work in process inventory was converted into finished
27
goods

Sale on account of 450 goods with selling price of P2,850 each, cost of goods of P1,500
28
per unit, terms 2/10, n/30

30 Paid employee salaries for P270,000 cash, P150,000 of which belongs to direct labor

- Paid total Utilities expense amounted to P4,500 cash

2022
June

Collected P1,282,500 on accounts receivable from May 28 transaction within discount

1
period

3 Purchase of raw materials on account for P900,000 from Supply.co

10 Paid the May 1 transaction with Supply.co

16 Issued 50,000 preferred shares at issue price of P35

23 Raw materials transferred to work in process inventory amounted to 1,255,000

Cash sale of 250 goods with selling price of P3,000 each, cost of goods of P1,500 per
28
unit

30 Paid employee salaries for P270,000 cash, P150,000 of which belongs to direct labor

- Paid total Utilities expense amounted to P4,500 cash

2022
July

1,580,000 of the goods from work in process inventory was converted into finished
1
goods

11 Paid the June 3 transaction with Supply.co

 Cash sale of 620 goods with selling price of P3,000 each, cost of goods of P1,500 per
20
unit with 1% cash discount

26 The company creates a petty cash fund of P20,000

30 Paid employee salaries for P270,000 cash, P150,000 of which belongs to direct labor

- Paid total Utilities expense amounted to P4,500 cash

2022
August

4 Issued 8,500 ordinary shares at issue price of P30

Sale on account of 260 goods with selling price of P2,950 each, cost of goods of P1,500
12
per unit

1,000,000 of the goods from work in process inventory was converted into finished
19
goods

23 Bought Office Supplies for P5,500 cash

25 Purchased 10,000 ordinary shares at P25 per share to be held as treasury

30 Paid employee salaries for P270,000 cash, P150,000 of which belongs to direct labor

- Paid total Utilities expense amounted to P4,500 cash

2022
September

18,000 preference shares were issued for office equipment which had a fair value of
1
P500,000 with a salvage value of 50,000 and a useful life of 20 years

6 The 10,000 treaury shares are reissued at P35 per share

13 Collected cash from customers on August 12 transaction

18 Purchased raw materials for P200,000 on cash

Cash sale of 590 goods with selling price of P2,700 each, cost of goods of P1,500 per
25
unit with 1.5% cash discount

30 Paid employee salaries for P270,000 cash, P150,000 of which belongs to direct labor

- Paid total Utilities expense amounted to P4,500 cash

 - Used up Prepaid rent

2022
October

2 The corporation hired a finance manager with P30,000 monthly salary.

8 Purchase raw materials P150,000 on account

16 Raw materials worth 600,000 are transferred to the factory for production.

24 Sold 250 goods on credit with P2,850 selling price, cost of goods worth P1,500 each.

The corporation acquired 15,000 ordinary shares. The shares are held for trading and has
27
a market value of P60 per share as of this date.

30 Paid rent P5,000

- Paid employee salaries for P300,000 cash, P150,000 of which belongs to direct labor

- Paid total Utilities expense amount to P4,500 cash

2022
November

1 Paid the full amount of P150,000 referring to the purchase of raw materials.

14 Cash collection from customers worth P300,000.

23 P 550,000 worth of goods are transferred out of the factory to the warehouse.

Sold 350 goods in cash with a selling price of Php 2,500 each and cost of goods of
25
P1,500 each.

24 Paid rent in advance for 6 months, including november for P30,000

- Paid employee salaries for P300,000 cash, P150,000 of which belongs to direct labor

- Paid Utilities expense P4,500

2022
December

1 The corporation sold 1,500 of ordinary shares of AVG corporation for P80,000.

5 Purchased Raw materials worth P1,000,000 on account

 13 Raw materials are transferred to the factory worth P1,250,000.

16 Goods worth P1,000,000 are transferred out of the factory as it completed production.

17 Sold 450 goods in cash with a selling price of P3,100 each, cost of goods is P1,500 each

20 Collected the balance of P275,000.

30 Paid employee salaries for P300,000 cash, P150,000 of which belongs to direct labor

- Paid Utilities expense P4,500

2022 ADJUSTING ENTRIES

- Market Value of Ordinary shares of AVG corporation is P76 per share

- 9/10 months of Factory Supplies are used up

- P8,000 worth of Office Supplies are used

- 2 months worth of Prepaid rent is used up

- 8/12 months of Insurance are used up

- Depreciation of Factory Machine amounted to P11,979.17

- Depreciation of Office Equipment totalled amounted to P5,625

- Building has estimated useful life of 50 years with salvage value of P250,000

2022 CLOSING ENTRIES

- Closed Revenues to Income Summary

- Closed Expenses to Income Summary

- Closed Income Summary to Retained Earnings

DATE TRANSACTIONS DR CR
2022
January

1 Subscription Receivable - ordinary 10,000,000.00

Subscribed Share Capital - ordinary 10,000,000.00
To record subscription received
#
- Cash 5,000,000.00
Subscription Receivable - Ordinary 5,000,000.00
To record paid-in capital for ordinary shares
#
11 Subscription Receivable - Preferred 500,000.00
Subscribed Share Capital - Preferred 500,000.00
To record subscription received on preferred shares
#
12 Legal Expenses 100,000.00
Share Capital - Preferrence 75,000.00
Share Premium - Preference 25,000.00
To record issuance of share as payment
#
19 Cash 2,000,000.00
Subscription Receivable - Ordinary 2,000,000.00
To record payment received from ordinary share subscription
#
24 Prepaid Rent 40,000.00
Cash 40,000.00
To record prepaid rent
#
30 Furniture & Fixtures 35,000.00
Accounts Payable 35,000.00
To record purchase on account
#

2022
February

3 Land 1,320,000.00
Building 1,980,000.00
Cash 3,300,000.00
To record purchase of land and factory building
#
9 Accounts Payable 35,000.00
Cash 34,300.00
Furniture & Fixtures 700.00
To record payment of purchase last jan.30 within discount period
#
17 Machinery 250,000.00
 Share Capital - Ordinary 240,000.00
Share Premium - Ordinary 10,000.00
To record acquisition of machinery thru exchange
#
23 NO ENTRY

27 Raw Materials Inventory 1,000,000.00

Accounts Payable 1,000,000.00
To record purchase of raw materials on account
#

2022
March

2 Factory Supplies 180,000.00

Cash 180,000.00
To record purchase of factory supplies
#
4 Cash 200,000.00
Subscription Receivable - Preferred 200,000.00
To record payment received from subscribed preference shares
#
10 Work-in-process Inventory 600,000.00
Raw Materials Inventory 600,000.00
To record cost of materials transferred to production
#
21 Cash 300,000.00
Subscription Receivable - Preferred 300,000.00
To record collection of Subscription of preferred share
#
- Subscribed Share Capital - Preferred 500,000.00
Share Capital - Preferred 500,000.00
To record issuance of Share Certificate
#
28 Accounts Payable 1,000,000.00
Cash 1,000,000.00
To record payment of raw materials puchased on Feb 27
#
31 Salaries & Wages Expense 270,000.00
Cash 270,000.00
#
Work-in-process Inventory 150,000.00
Salaries & Wages Expense 150,000.00
To record payment of monthly salary
#
- Utilities Expense 3,000.00
Accounts Payable 3,000.00
To record payable on utilities
#
2022
April

5 Advertising Expense 59,535.00

Cash 59,535.00
To record advertising expense
#
7 Finished Goods Inventory 525,000.00
Work-in-process Inventory 525,000.00
To record conversion of goods
#
13 Prepaid Insurance 14,000.00
Cash 14,000.00
To record prepaid insurance
#
19 Office Supplies 3,100.00
Cash 3,100.00
To record purchase of office supplies on cash
#
20 Accounts Receivable 427,500.00
Sales 427,500.00
#
- Cost of Goods Sold 225,000.00
Finished Goods Inventory 225,000.00
To record sale of goods on account
#
21 Accounts Payable 3,000.00
Cash 3,000.00
To record payment of utilities expense from march
#
30 Salaries & Wages Expense 270,000.00
Cash 270,000.00
#
- Work-in-process Inventory 150,000.00
Salaries & Wages Expense 150,000.00
To record direct labor from salaries paid
#
- Utilities Expense 3,000.00
Cash 3,000.00
To record payable on utilities
#

2022
May

1 Raw Materials Inventory 2,000,000.00

Accounts Payable 2,000,000.00
To record purchase of raw materials on account
 #
10 Work-in-process Inventory 1,500,000.00
Raw Materials Inventory 1,500,000.00
To record cost of materials transferred to production
#
16 Cash 427,500.00
Accounts Receivable 427,500.00
To record collection of accounts receivable
#
20 Cash 3,000,000.00
Subscription Receivable - Ordinary 3,000,000.00
#
- Subscribed Share Capital - Ordinary 10,000,000.00
Share Capital - Ordinary 10,000,000.00
To record collection of Subscription of ordinary share & issuance of Share Certificate
#
27 Finished Goods Inventory 1,350,000.00
Work-in-process Inventory 1,350,000.00
To record conversion of goods
#
28 Accounts Receivable 1,282,500.00
Sales 1,282,500.00
#
- Cost of Goods Sold 675,000.00
Finished Goods Inventory 675,000.00
To record sale of goods on account
#
30 Salaries & Wages Expense 270,000.00
Cash 270,000.00
#
- Work-in-process Inventory 150,000.00
Salaries & Wages Expense 150,000.00
To record direct labor from salaries paid
#
- Utilities Expense 4,500.00
Cash 4,500.00
To record payable on utilities
#

2022
June

1 Cash 1,256,850.00
Sales Discount 25,650.00
Accounts Receivable 1,282,500.00
To record collection of accounts receivable
#
3 Raw Materials Inventory 900,000.00
Accounts Payable 900,000.00
 To record purchase of raw materials on account
#
10 Accounts Payable 2,000,000.00
Cash 2,000,000.00
To record payment of raw materials puchased on May 1
#
16 Cash 1,750,000.00
Share Capital - Preferred 1,250,000.00
Share Premium - Preferred 500,000.00
To record cash subscription of preferred shares
#
23 Work-in-process Inventory 1,255,000.00
Raw Materials Inventory 1,255,000.00
To record cost of materials transferred to production
#
28 Cash 750,000.00
Sales 750,000.00
#
- Cost of Goods Sold 375,000.00
Finished Goods Inventory 375,000.00
To record sale of goods on account
#
30 Salaries & Wages Expense 270,000.00
Cash 270,000.00
#
- Work-in-process Inventory 150,000.00
Salaries & Wages Expense 150,000.00
To record direct labor from salaries paid
#
- Utilities Expense 4,500.00
Cash 4,500.00
To record payable on utilities
#

2022
July

1 Finished Goods Inventory 1,080,000.00

Work-in-process Inventory 1,080,000.00
To record conversion of goods
#
11 Accounts Payable 900,000.00
Cash 900,000.00
To record payment of raw materials puchased on May 1
#
20 Cash 1,841,400.00
Sales Discount 18,600.00
Sales 1,860,000.00
#
 - Cost of Goods Sold 930,000.00
Finished Goods Inventory 930,000.00
To record sale of goods on cash
#
26 Petty Cash 20,000.00
Cash 20,000.00
To record transfer to petty cash
#
30 Salaries & Wages Expense 270,000.00
Cash 270,000.00
#
- Work-in-process Inventory 150,000.00
Salaries & Wages Expense 150,000.00
To record direct labor from salaries paid
#
- Utilities Expense 4,500.00
Cash 4,500.00
To record payable on utilities
#

2022
August

4 Cash 255,000.00
Share Capital - Ordinary 170,000.00
Share Premium - Ordinary 85,000.00
To record cash subscription of ordinary shares
#
12 Accounts Receivable 767,000.00
Sales 767,000.00
#
- Cost of Goods Sold 390,000.00
Finished Goods Inventory 390,000.00
To record sale of goods on account
#
19 Finished Goods Inventory 1,000,000.00
Work-in-Process Inventory 1,000,000.00
To record conversion of goods
#
23 Office Supplies 5,500.00
Cash 5,500.00
To record purchase of supplies on cash
#
25 Treasury Shares 250,000.00
Cash 250,000.00
To record reacquisition of shares
#
30 Salaries & Wages Expense 270,000.00
 Cash 270,000.00
#
- Work-in-process Inventory 150,000.00
Salaries & Wages Expense 150,000.00
To record direct labor from salaries paid
#
- Utilities Expense 4,500.00
Cash 4,500.00
To record payable on utilities
#

2022
September

1 Office Equipment 500,000.00

Share Capital - Preference 450,000.00
Share Premium - Preference 50,000.00
To record issuance of preference shares for factory equipment
#
6 Cash 350,000.00
Treasury Shares 250,000.00
Share Premium - Treasury Shares 100,000.00
To record reissuance of treasury shares
#
13 Cash 767,000.00
Accounts Receivable 767,000.00
To record collection of accounts receivable
#
18 Raw Materials Inventory 200,000.00
Cash 200,000.00
To record purchase of raw materials on cash
#
25 Cash 1,569,105.00
Sales Discount 23,895.00
Sales 1,593,000.00
#
- Cost of Goods Sold 885,000.00
Finished Goods Inventory 885,000.00
To record sale of goods on cash
#
30 Salaries & Wages Expense 270,000.00
Cash 270,000.00
#
- Work-in-process Inventory 150,000.00
Salaries & Wages Expense 150,000.00
To record direct labor from salaries paid
#
 - Utilities Expense 4,500.00
Cash 4,500.00
To record payable on utilities
#
- Rent Expense 40,000.00
Prepaid Rent 40,000.00
To record rent expense
#

2022
October

2 NO ENTRY

8 Raw Materials Inventory 150,000.00

Accounts Payable 150,000.00
To record purchase of raw materials on account
#
16 Work-in-process Inventory 600,000.00
Raw Materials Inventory 600,000.00
To record transfer of raw materials to Work-in-process inventory
#
24 Accounts Receivable 712,500.00
Sales 712,500.00
#
- Cost of Goods Sold 375,000.00
Finished Goods Inventory 375,000.00
To record sale on account
#
27 Trading Securities - FVPL 900,000.00
Cash 900,000.00
To record acquisition of trading securities
#
30 Rent Expense 5,000.00
Cash 5,000.00
To record cash payment of rent
#
Salaries & Wages Expense 300,000.00
Cash 300,000.00
#
- Work-in-process Inventory 150,000.00
Salaries & Wages Expense 150,000.00
To record direct labor from salaries paid
#
- Utilities Expense 4,500.00
Cash 4,500.00
To record payable on utilities
#
 2022
November

1 Accounts Payable 150,000.00

Cash 150,000.00
To record payment of A/P
#
14 Cash 300,000.00
Accounts Receivable 300,000.00
To record collection of A/R
#
23 Finished Goods Inventory 550,000.00
Work-in-process Inventory 550,000.00
To record cash payment of rent
#
25 Cash 875,000.00
Sales 875,000.00
#
Cost of Goods Sold 525,000.00
Finished Goods Inventory 525,000.00
To record sale on cash
#
30 Prepaid Rent 30,000.00
Cash 30,000.00
To record cash payment of rent
#
Salaries & Wages Expense 300,000.00
Cash 300,000.00
#
- Work-in-process Inventory 150,000.00
Salaries & Wages Expense 150,000.00
To record direct labor from salaries paid
#
- Utilities Expense 4,500.00
Cash 4,500.00
To record payable on utilities
#

2022
December

1 Cash 80,000.00
Trading Securities - FVPL 60,000.00
Gain on sale of trading securities 20,000.00
To record sale of trading security
#
5 Raw Materials Inventory 1,000,000.00
Accounts Payable 1,000,000.00
To record purchase of raw materials on account
 #
13 Work-in-process Inventory 1,250,000.00
Raw Materials Inventory 1,250,000.00
To record transfer of raw materials to Work-in-process inventory
#
16 Finished Goods Inventory 1,000,000.00
Work-in-process Inventory 1,000,000.00
To record conversion of goods
#
17 Cash 1,395,000.00
Sales 1,395,000.00
#
- Cost of Goods Sold 675,000.00
Finished Goods Inventory 675,000.00
To record cash sales
#
20 Cash 275,000.00
Accounts Receivable 275,000.00
To record collection
#
30 Salaries & Wages Expense 300,000.00
Cash 300,000.00
#
- Work-in-process Inventory 150,000.00
Salaries & Wages Expense 150,000.00
To record direct labor from salaries paid
#
- Utilities Expense 4,500.00
Cash 4,500.00
To record payable on utilities
#

2022 ADJUSTING ENTRIES

Dec-31

- Trading Securities - FVPL 216,000.00

Unrealized Gain - TS 216,000.00
#
- Factory Supplies Expense 162,000.00
Factory Supplies 162,000.00
#
- Office Supplies Expense 8,000.00
Office Supplies 8,000.00
#
- Rent Expense 10,000.00
Prepaid Rent 10,000.00
#
- Insurance Expense
Prepaid Insurance
 #
- Depreciation Expense 11,979.17
Accumulated Depreciation - Factory Machine 11,979.17
#
- Depreciation Expense 5,625.00
Accumulated Depreciation - Office Equipment 5,625.00
#
- Depreciation Expense 34,600.00
Accumulated Depreciation - Building 34,600.00
#

2022 Closing Entries

Dec-31

- Sales 9,662,500.00
Gain on Sale of Trading Security 20,000.00
Unrealized Gain / Loss - Trading Securities 216,000.00
Income Summary 9,898,500.00
To close revenue to income summary
#
- Income Summary 6,901,217.50
Sales Discount 68,145.00
Cost of Goods Sold 5,055,000.00
Legal Expense 100,000.00
Rent Expense 55,000.00
Utilities Expense 42,000.00
Advertising Expense 59,535.00
Salaries & Wages Expense 1,290,000.00
Factory Supplies Expense 162,000.00
Office Supplies Expense 8,000.00
Depreciation Expense 52,204.17
Insurance Expense 9,333.33
To close expenses to income summary
#
- Income Summary 2,997,282.50
Retained Earnings 2,997,282.50
To close Income Summary to Retained Earnings
#
 ASSETS
Cash Accounts Receivable
1-01 5,000,000.00 40,000.00 1-24 4-20 427,500.00 427,500.00 5-16 2-09
1-19 2,000,000.00 3,300,000.00 2-03 5-28 1,282,500.00 1,282,500.00 6-01 3-28
3-04 200,000.00 34,300.00 2-09 8-12 767,000.00 767,000.00 9-13 4-21
3-21 300,000.00 180,000.00 3-02 10-24 712,500.00 300,000.00 11-14 6-10
5-16 427,500.00 1,000,000.00 3-28 275,000.00 12-20 7-11
5-20 3,000,000.00 270,000.00 3-31 11-01
6-01 1,256,850.00 59,535.00 4-05
6-16 1,750,000.00 14,000.00 4-13
6-28 750,000.00 3,100.00 4-19 3,189,500.00 3,052,000.00
7-20 1,841,400.00 3,000.00 4-21 137,500.00
8-04 255,000.00 270,000.00 4-30
9-06 350,000.00 3,000.00 4-30 Raw Materials Inventory
9-13 767,000.00 270,000.00 5-30 2-27 1,000,000.00 600,000.00 3-10
9-25 1,569,105.00 4,500.00 5-30 5-01 2,000,000.00 1,500,000.00 5-01
11-14 300,000.00 2,000,000.00 6-10 6-03 900,000.00 1,255,000.00 6-23
11-25 875,000.00 270,000.00 6-30 9-18 200,000.00 600,000.00 10-16
12-01 80,000.00 4,500.00 6-30 10-08 150,000.00 1,250,000.00 12-13
12-17 1,395,000.00 900,000.00 7-11 12-05 1,000,000.00
12-20 275,000.00 20,000.00 7-26
270,000.00 7-30
4,500.00 7-30 5,250,000.00 5,205,000.00
5,500.00 8-23 45,000.00
250,000.00 8-25
270,000.00 8-30 Work-in-Process Inventory
4,500.00 8-30 3-10 600,000.00 525,000.00 4-07
200,000.00 9-18 3-31 150,000.00 1,350,000.00 5-27
270,000.00 9-30 4-30 150,000.00 1,080,000.00 7-01
4,500.00 9-30 5-01 1,500,000.00 1,000,000.00 8-19
900,000.00 10-27 5-30 150,000.00 550,000.00 11-23
5,000.00 10-30 6-23 1,255,000.00 1,000,000.00 12-16
300,000.00 10-30 6-30 150,000.00
4,500.00 10-30 7-30 150,000.00
150,000.00 11-01 8-30 150,000.00
30,000.00 11-30 9-30 150,000.00
300,000.00 11-30 10-16 600,000.00
4,500.00 11-30 10-30 150,000.00
300,000.00 12-30 11-30 150,000.00
4,500.00 12-30 12-13 1,250,000.00
12-30 150,000.00

22,391,855.00 11,923,435.00 6,705,000.00 5,505,000.00

 10,468,420.00 1,200,000.00

Petty Cash Finished Goods Inventory

7-26 20,000.00 4-07 525,000.00 225,000.00 4-20
5-27 1,350,000.00 675,000.00 5-28
7-01 1,080,000.00 375,000.00 6-28
8-19 1,000,000.00 930,000.00 7-20
11-23 550,000.00 390,000.00 8-12
12-16 1,000,000.00 885,000.00 9-25
375,000.00 10-24
525,000.00 11-25
20,000.00 0.00 675,000.00 12-17

Prepaid Rent
1-24 40,000.00 40,000.00 9-30
30,000.00

70,000.00 40,000.00 5,505,000.00 5,055,000.00

30,000.00 450,000.00
10,000.00 adj
Prepaid Insurance Furniture & Fixtures
4-13 14,000.00 1-30 35,000.00 700.00 2-09

14,000.00 0.00 35,000.00 700.00

9,333.33 adj 34,300.00

Office Supplies Land

4-19 3,100.00 2-03 1,320,000.00
8-23 5,500.00

8,600.00 0.00 1,320,000.00 0.00

 8,000.00 adj

Factory Supplies Building

3-02 180,000.00 2-03 1,980,000.00

180,000.00 0.00 1,980,000.00 0.00

162,000.00 adj

Machinery Trading Securities - FVPL

2-17 250,000.00 10-27 900,000.00 60,000.00 12-01

250,000.00 0.00 900,000.00 60,000.00

840,000.00
adj 216,000.00
Office Equipment
9-01 500,000.00
Accumulated Depreciation - Machinery
11,979.17 adj

500,000.00 0.00

0.00 11,979.17

Accumulated Depreciation - Building Accumulated Depreciation - Office Equipment

34,600.00 5,625.00
0.00 34,600.00 0.00 5,625.00
 LIABILITIES
Accounts Payable
35,000.00 35,000.00 1-30
1,000,000.00 1,000,000.00 2-27
3,000.00 3,000.00 3-31
2,000,000.00 2,000,000.00 5-01
900,000.00 900,000.00 6-03
150,000.00 150,000.00 10-08
1,000,000.00 12-05

4,088,000.00 5,088,000.00
1,000,000.00

1-01

5-20
 4-20
5-28
6-28
7-20
8-12
9-25
10-24
11-25
12-17

3-31
4-30
5-30
6-30
7-30
8-30
9-30
10-30
11-30
12-30

3-31
4-30
5-30
6-30
7-30
8-30
9-30
10-30
11-30
12-30

9-30
10-30

adj

adj
adj
 EQUITY
Share Capital - Ordinary Share Capital Preference
240,000.00 2-17 75,000.00 1-12
10,000,000.00 5-20 500,000.00 3-21
170,000.00 8-04 1,250,000.00 6-16
450,000.00 9-01

0.00 10,410,000.00 0.00 2,275,000.00

Subscription Receivable - Ordinary Subscription Receivable - Preference

10,000,000.00 5,000,000.00 1-01 1-11 500,000.00 200,000.00 3-04
2,000,000.00 1-19 300,000.00 3-21
3,000,000.00 5-20

10,000,000.00 10,000,000.00 500,000.00 500,000.00

Subscribed Share Capital - Ordinary Subscribed Share Capital - Preference

10,000,000.00 10,000,000.00 1-01 3-21 500,000.00 500,000.00 1-11

10,000,000.00 10,000,000.00 500,000.00 500,000.00

Share Premium - Ordinary Share Premium - Preference

10,000.00 2-17 25,000.00 1-12
85,000.00 8-04 500,000.00 6-16
50,000.00 9-01

0.00 95,000.00 0.00 575,000.00

 Sales Sales Discount
427,500.00 4-20 6-01 25,650.00
1,282,500.00 5-28 7-20 18,600.00
750,000.00 6-28 9-25 23,895.00
1,860,000.00 7-20
767,000.00 8-12
1,593,000.00 9-25
712,500.00 10-24
875,000.00 11-25
1,395,000.00 12-17 68,145.00 0.00

Advertising Expense
4-05 59,535.00

0.00 9,662,500.00

Cost of Goods Sold

225,000.00
675,000.00
375,000.00 59,535.00 0.00
930,000.00
390,000.00
885,000.00 Legal Expenses
375,000.00 1-12 100,000.00
525,000.00
675,000.00

5,055,000.00 0.00 100,000.00 0.00

Salaries & Wages Expense Treasury Shares

270,000.00 150,000.00 3-31 8-25 250,000.00 250,000.00 9-06
270,000.00 150,000.00 4-30
270,000.00 150,000.00 5-30
270,000.00 150,000.00 6-30
270,000.00 150,000.00 7-30
270,000.00 150,000.00 8-30
270,000.00 150,000.00 9-30
300,000.00 150,000.00 10-30
300,000.00 150,000.00 11-30 250,000.00 250,000.00
 300,000.00 150,000.00 12-30

Share Premium - Treasury

100,000.00 9-06
2,790,000.00 1,500,000.00
1,290,000.00

Utilities Expense
3,000.00
3,000.00
4,500.00
4,500.00 0.00 100,000.00
4,500.00
4,500.00
4,500.00 Gain on Sale of Trading Securities
4,500.00 20,000.00
4,500.00
4,500.00

42,000.00 0.00 0.00 20,000.00

Rent Expense Unrealized Gain / Loss - Trading Security

40,000.00 216,000.00 adj
5,000.00

45,000.00 0.00 0.00 216,000.00

10,000.00

Factory Supplies Expense Office Supplies Expense

162,000.00 adj 8,000.00
 162,000.00 0.00 8,000.00 0.00

Depreciation Expense Insurance Expense

11,979.17 9,333.33
5,625.00
34,600.00

52,204.17 0.00 9,333.33 0.00

Income Summary Retained Earnings

6,901,217.50 9,898,500.00 2,997,282.50
2,997,282.50

9,898,500.00 9,898,500.00 0.00 2,997,282.50

 G. Cuvier Shoe Corporation
Worksheet
Ref Account Trial Balance Adjusting Entries
No. Debit Credit Debit
Cash 10,468,420.00
Petty Cash 20,000.00
Accounts Receivable 137,500.00
Raw Materials Inventory 45,000.00
Work in Process Inventory 1,200,000.00
Finished Goods Inventory 450,000.00
Office Supplies 8,600.00
Factory Supplies 180,000.00
Prepaid Rent 30,000.00
Prepaid Insurance 14,000.00
Furniture & Fixtures 34,300.00
Land 1,320,000.00
Building 1,980,000.00
Machinery 250,000.00
Office Equipment 500,000.00
Accumulated Depreciation - Building
Accumulated Depreciation - Machinery
Accumulated Depreciation - Office Equipment
Trading Securities - FVPL 840,000.00 216,000.00
Accounts Payable 1,000,000.00
Share Capital - Ordinary 10,410,000.00
Share Capital - Preference 2,275,000.00
Share Premium - Ordinary 95,000.00
Share Premium - Preference 575,000.00
Subscription Receivable - Ordinary
Subscription Receivable - Preference
Subscribed Share Capital Ordinary
Subscribed Share Capital Preference
Treasury Shares
Share Premium - Treasury 100,000.00
Sales 9,662,500.00
Gain on Sale of Trading Security 20,000.00
Unrealized Gain / Loss - Trading Securities
Sales Discount 68,145.00
Cost of Goods Sold 5,055,000.00
Legal Expense 100,000.00
Rent Expense 45,000.00 10,000.00
Utilities Expense 42,000.00
Advertising Expense 59,535.00
Salaries & Wages Expense 1,290,000.00
Factory Supplies Expense 162,000.00
Office Supplies Expense 8,000.00
Depreciation Expense 52,204.17
Insurance Expense 9,333.33

Total 24,137,500.00 24,137,500.00 457,537.50

Net Income before tax
er Shoe Corporation
Worksheet
Adjusting Entries Adjusted Trial Balance Income Statement Balance Sheet
Credit Debit Credit Debit Credit Debit Credit
10,468,420.00 10,468,420.00
20,000.00 20,000.00
137,500.00 137,500.00
45,000.00 45,000.00
1,200,000.00 1,200,000.00
450,000.00 450,000.00
8,000.00 600.00 600.00
162,000.00 18,000.00 18,000.00
10,000.00 20,000.00 20,000.00
9,333.33 4,666.67 4,666.67
34,300.00 34,300.00
1,320,000.00 1,320,000.00
1,980,000.00 1,980,000.00
250,000.00 250,000.00
500,000.00 500,000.00
34,600.00 34,600.00 34,600.00
11,979.17 11,979.17 11,979.17
5,625.00 5,625.00 5,625.00
1,056,000.00 1,056,000.00
1,000,000.00 1,000,000.00
10,410,000.00 10,410,000.00
2,275,000.00 2,275,000.00
95,000.00 95,000.00
 575,000.00 575,000.00

100,000.00 100,000.00
9,662,500.00 9,662,500.00
20,000.00 20,000.00
216,000.00 216,000.00 216,000.00
68,145.00 68,145.00
5,055,000.00 5,055,000.00
100,000.00 100,000.00
55,000.00 55,000.00
42,000.00 42,000.00
59,535.00 59,535.00
1,290,000.00 1,290,000.00
162,000.00 162,000.00
8,000.00 8,000.00
52,204.17 52,204.17
9,333.33 9,333.33

457,537.50 24,405,704.17 24,405,704.17 6,901,217.50 9,898,500.00 17,504,486.67 14,507,204.17

2,997,282.50 2,997,282.50
9,898,500.00 9,898,500.00 17,504,486.67 17,504,486.67
 G. Cuvier Shoe Corporation
Income Statement
For the year ended December 31, 2021

Gross Sales ₱ 9,662,500.00

Less: Sales Discount 68,145.00
Net Sales 9,594,355.00
Cost of Goods Sold 5,263,579.17
Gross Profit 4,330,775.83
Legal Expense ₱ 100,000.00
Rent Expense 55,000.00
Advertising Expense 59,535.00
Utilities Expense 42,000.00
Salaries & Wages 1,290,000.00
Office Supplies Expense 8,000.00
Depreciation Expense 5,625.00
Insurance Expense 9,333.33 1,569,493.33
Operating Income 2,761,282.50
Other Income 216,000.00
Gain on Sale of Trading Security 20,000.00
Net Income before tax ₱ 2,997,282.50
 G. Cuvier Shoe Corporation
Balance Sheet
As of December 31, 2022

ASSETS
Current Assets:
Cash 10,468,420.00
Petty Cash 20,000.00
Accounts Receivable 137,500.00
Finished Goods Inventory 450,000.00
Prepaid Rent 20,000.00
Prepaid Insurance 4,666.67
Office Supplies 600.00
Factory Supplies 18,000.00
Total Current Assets 11,119,186.67
Non-Current Assets:
Trading Securities FVPL 1,056,000.00
Raw Materials Inventory 45,000.00
Work-in-Process Inventory 1,200,000.00
Furniture & Fixtures 34,300.00
Land 1,320,000.00
Office Equipment 500,000.00
Machinery 250,000.00
Building 1,980,000.00
Accumulated depreciation - Equipment (-5,625.00)
Accumulated depreciation - Machinery (-11,979.17)
Accumulated depreciation - Building (-34,600.00)
Total Non-Current Assets 6,333,095.83
Total Assets 17,452,282.50
Liabilities and Shareholder's Equity
Current Liabilities:
Accounts Payable 1,000,000.00
Total Current Liability 1,000,000.00
Shareholder's Equity:
Share Capital - Ordinary 10,410,000.00
Share Capital - Preference 2,275,000.00
Share Premium - Ordinary 95,000.00
Share Premium - Preference 575,000.00
Share Premium - Treasury 100,000.00
13,455,000.00
Retained Earnings 2,997,282.50
17,452,282.50
 G. Cuvier Shoe Corporation
Statement of Shareholder's Equity
For the year ended December 31, 2021

Contributed Capital:
Ordinary Share Capital 10,410,000.00
Prefered Share Capital 2,275,000.00
Share Premium - Ordinary 95,000.00
Share Premium - Preference 575,000.00
Reserves:
Share Premium - Treasury Shares 100,000.00
Retained Earnings 2,997,282.50

Total Shareholder's Equity 16,452,282.50