Name:

Course:

Long Quiz (SF)

Listed below are the February 1, 2021 account balances of the Teresita Buenaflor Company:

110 Cash 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-Bldg. 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 Purchase Returns and Allowance
530 Purchase Discounts
610 Transportation in
620 Salaries Expense
630 Insurance Expense
640 Depreciation Expense-Bldg.
650 Depreciation Expense-Equipment
660 Transportation out
670 Advertising Expense
680 Interest Expense
690 Miscellaneous Expense
5,257,000 5,257,000

During the month of February 2021, the following transactions occurred:

Feb. 1 Collected 113,000 from customers on account.

2 Paid 64,000 of accounts.
4 Purchased merchandise, 170,000.
5 Sold merchandise on account to Gonzales Company, 270,000.
7 Paid for advertising for the month of February, 6,000.
7 Sold merchandise for cash, 250,000.
8 Paid the amount due from the Feb. 4 transactions.
9 Paid Iloilo Freight 4,000 for delivering merchandise last Feb 4.
10 Received returns from the Gonzales Company, 70,000.
12 Received payment from the Gonzales Company, less returns.
14 Paid 26,000 interest on the mortgage payable.
15 Paid salaries, 51,000.
16 Sold merchandise on account to Ronzales Company, 392,000.
18 Paid 4,000 freight charges on the sale on Feb. 16.
19 Acquired supplies for cash, 21,000
20 Purchased 125,000 of merchandise from Lozada Company on account.
22 Paid 7,000 miscellaneous expenses.
23 Received payment from Ronzales Company.
 24 Purchased 373,000 of merchandise on account from Agustin Company.
24 Paid La Paz Express 9,000 freight for delivering merchandise acquired from Agustin.
25 Sold merchandise to Ronzales Company on account, 420,000.
26 Received returns from Ronzales Company, 71,000.
28 Buenaflor withdrew 400,000 from the business.
28 Returned merchandise purchased from Agustin on Feb. 24, 25,000.

Required:

1. Post the February 1, 2021 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 the worksheet using the following information:
a. Salaries in the amount of 51,000 have accrued on Feb. 28.
b. Insurance coverage with premiums of 2,000 has expired at month-end.
c. Depreciation on the building and on the equipment for the month amounted to 9,000
and 12,000, respectively.
d. Supplies on hand at month-end amounted to 14,000.
e. A count of the merchandise inventory on Feb. 28, 2021 amounted to 397,000.
4. Prepare the adjusting and closing entries for the month. And post it to the ledger.
5. Prepare the individual Income Statement and Balance sheet for the month end February 2021.