Teresita Buenaflor Shoes

Journal
Feb. Account Title Debit Credit
1 Cash 113,000
Accounts Receivable 113,000
Collections from customers on account
2 Accounts Receivable 64,000
Purchases Discounts 1,920
Cash 62,080
Paid accounts due less discounts of 3%
4 Purchases 170,000
Accounts Payable 170,000
Purchased merchandise on account, FOB shipping point; 3/10, n/30
5 Accounts Receivable
Sales
Sold merchandise on account to Gonzales Inc., FOB shippining point; 2/10, n/30
7 Advertising Expense 6,000
Cash 6,000
Paid for advertising for the month of February
7 Cash 250,000
Sales 250,000
Sold merchandise for cash
8 Accounts Payable 170,000
Purchases Discounts 5,100
Cash 164,900
Paid the amount due from Feb. 4 transaction
9 Transportation In 4,000
Cash 4,000
Paid Iloilo Freight for delivering merchandise last Feb. 4
10 Sales Return and Allowances 70,000
Accounts Receivable 70,000
Received returns from the Gonzales Inc.
12 Sales Discounts 4,000
Cash 196,000
Accounts Receivable 200,000
Received payment from the Gonzales Inc. less returns and discounts
14 Interest Expense 26,000
Cash 26,000
Payment of interest on the mortgage payable
15 Salaries Expense 51,000
Cash 51,000
Paid salaries
16 Accounts Receivable 392,000
Sales 392,000
Sold merchandise on account to Ronzales Corp., FOB destination; 2/10, n/30
18 Transportation Out 4,000
Cash 4,000
Paid freight charges on the sale of Feb. 16
19 Supplies 21,000
Cash 21,000
Acquired supplies for cash
20 Purchases 125,000
Accounts Payable 125,000
Purchased merchandise from Lozada Imports on account, FOB destination; 3/10, n/30
22 Miscellaneous Expense 7,000
Cash 7,000
Paid miscellaneous expense
23 Sales Discounts 7,840
Cash 384,160
Accounts Receivable 392,000
Received payment from the Ronzales Corp., less 2% discount
24 Purchases 373,000
Accounts Payable 373,000
Purchased merchandise on account from Agustin Enterprises, FOB shipping point; 3/10, n/30
24 Transportation In 9,000
Cash 9,000
Paid La Paz Express for delivering merchandise acquired from Agustin
25 Accounts Receivable 420,000
Sales 420,000
Sold merchandise to Ronzales Corp. on account, FOB shipping point; 2/10, n/30
26 Sales Return and Allowances 71,000
Accounts Receivable 71,000
Received returns from the Ronzales Corp.
28 Buenaflor, Withdrawals 400,000
Cash 400,000
Buenaflor withdrew cash from the business
28 Accounts Payable 25,000
Purchases Returns and Allowances 25,000
Returned merchandise purchased from Agustin on Feb. 24
 Teresita Buenaflor Shoes
Ledger
Acct. No.
110
02-01
02-01
02-02
02-07
02-07
02-08
02-09
02-12
02-14
02-15
02-18
02-19
02-22
02-23
02-24
02-28

120
02-01
02-01
02-05
02-10
02-12
02-16
02-23
02-25
02-26

130
02-01
 140
02-01
02-19

150
02-01

160
02-01

170
02-01

175
02-01

180
02-01

185
02-01
 210
02-01
02-02
02-04
02-08
02-20
02-24
02-28

220

230
02-01

310
02-01

320
02-28

330

410
02-05
02-07
02-16
02-25

420
02-10
02-26

430
02-12
02-23

510
02-04
02-20
02-24

520
02-28

530
02-02
02-08

540
02-09
02-24
 610
02-15

620

630

640

650

660
02-18

670
02-07

680
02-14
 690
02-22
 Teresita Buenaflor Shoes
Ledger
Account Title/Description
Cash
Beginning balance
Collection from customers on account
Paid accounts due less discounts of 3%
Paid for advertising for the month of February
Sold merchandise for cash
Paid the amount due from the Feb. 4 transaction
Paid Iloilo Freight for delivering merchandise last Feb. 4
Received payment from the Gonzales Inc. less returns and discounts
Payment of interest on the mortgage payable
Paid salaries
Paid freight charges on the sale of Feb. 16
Acquired supplies for cash
Paid miscellaneous expense
Received payment from the Ronzales Corp., less 2% discount
Paid La Paz Express for delivering merchandise acquired from Agustin
Buenaflor withdrew cash from the business

Accounts Receivable
Beginning balance
Collection from customers on account
Sold merchandise on account to Gonzales Inc., FOB shipping point; 2/10, n/30
Received returns from the Gonzales Inc.
Received payment from the Gonzales Inc. less returns and discounts
Sold merchandise on account to Ronzales Corp., FOB destination; 2/10, n/30
Received payment from the Ronzales Corp., less 2% discount
Sold merchandise to Ronzales Corp. on account, FOB shipping point; 2/10, n/30
Received returns from the Ronzales Corp.

Merchandise Inventory
Beginning balance
Supplies
Beginning balance
Acquired supplies for cash

Prepaid Insurance
Beginning balance

Land
Beginning balance

Building
Beginning balance

Accumulated Depreciation - Building

Beginning balance

Equipment
Beginning balance

Accumulated Depreciation - Equipment

Beginning balance
Accounts Payable
Beginning balance
Paid accounts due less discount of 3%
Purchased merchandise, FOB shipping point; 3/10, n/30
Paid the amount due from Feb. 4 transaction
Purchased merchandise from Lozada Imports on account, FOB destination; 3/10, n/30
Purchased merchandise on account from Agustin Enterprises, FOB shipping point; 3/10, n/30
Returned merchandise purchased from Agustin on Feb. 24

Salaries Payable

Mortgage Payable
Beginning balance

Buenaflor, Capital
Beginning balance

Buenfalor, Withdrawals
Buenaflor withdrew cash from the business

Income Summary

Sales
Sold merchandise on account to Gonzales Inc., FOB shipping point; 2/10, n/30
Sold merchandise for cash
Sold merchandise on account to Ronzales Corp., FOB destination; 2/10, n/30
Sold merchandise to Ronzales Corp. on account, FOB shipping point; 2/10, n/30

Sales Returns and Allowances

Gonzales Inc. returned merchandise
Received returns from the Ronzales Corp.

Sales Discounts
Received payment from the Gonzales Inc. less returns and discounts
Received payment from the Ronzales Corp., less 2% discount

Purchases
Purchased merchandise on account, FOB shipping point; 3/10, n/30
Purchased merchandise from Lozada Imports on account, FOB destination; 3/10, n/30
Purchased merchandise on account from Agustin Enterprises, FOB shipping point; 3/10, n/30

Purchases Returns and Allowances

Returned merchandise purchased from Agustin on Feb. 24

Purchases Discounts
Paid accounts due less discount of 3%
Paid the amount due from Feb. 4 transaction granting 3% discount

Transportation In
Paid Iloilo Freight for delivering merchandise last Feb. 4
Paid La Paz Express for delivering merchandise acquired from Agustin
Salaries Expense
Paid salaries

Supplies Expense

Insurance Expense

Depreciation Expense - Building

Depreciation Expense - Equipment

Transportation Out
Paid freight charges on the sale of Feb. 16

Advertising Expense
Paid for advertising for the month of February

Interest Expense
Payment of interest on the mortgage payable
Miscellaneous Expense
Paid miscellaneous expense
Debit Credit Balance

33,000 33,000
113,000 146,000
62,080 83,920
6,000 77,920
250,000 327,920
164,900 163,020
4,000 159,020
196,000 355,020
26,000 329,020
51,000 278,020
4,000 274,020
21,000 253,020
7,000 246,020
384,160 630,180
9,000 621,180
400,000 221,180

192,000 192,000
113,000 79,000
270,000 349,000
70,000 279,000
200,000 79,000
392,000 471,000
392,000 79,000
420,000 499,000
71,000 428,000

413,000 413,000
 51,000 51,000
21,000 72,000

48,000 48,000

460,000 460,000

1,750,000 1,750,000

350,000 350,000

2,310,000 2,310,000

630,000 630,000
 108,000 108,000
64,000 44,000
170,000 214,000
170,000 44,000
125,000 169,000
373,000 542,000
25,000 517,000

2,600,000 2,600,000

1,569,000 1,569,000

400,000 400,000
 270,000 270,000
250,000 520,000
392,000 912,000
420,000 1,332,000

70,000 70,000
71,000 141,000

4,000 4,000
7,840 11,840

170,000 170,000
125,000 295,000
373,000 668,000

25,000 25,000

1,920 1,920
5,100 7,020

4,000 4,000
9,000 13,000
51,000 51,000

4,000 4,000

6,000 6,000

26,000 26,000
7,000 7,000
 Teresita Buenfalor
Worksheet
February 28, 20
Unadjusted Trial Balance Adjustments
Account Title DEBIT CREDIT DEBIT CREDIT
110 Cash 221,180
120 Accounts Receivable 428,000
130 Merchandise Inventory 413,000
140 Supplies 72,000 d
150 Prepaid Insurance 48,000 b
160 Land 460,000
170 Building 1,750,000
175 Accumulated Depreciation - Building 350,000 c
180 Equipment 2,310,000
185 Accumulated Depreciation - Equipment 630,000 c
210 Accounts Payable 517,000
220 Salaries Payable a
230 Mortgage Payable 2,600,000
310 Buenaflor, Capital 1,569,000
320 Buenaflor, Withdrawals 400,000
330 Income Summary
410 Sales 1,332,000
420 Sales Returns and Allowances 141,000
430 Sales Discounts 11,840
510 Purchases 668,000
520 Purchases Returns and Allowances 25,000
530 Purchases Discounts 7,020
540 Transportation In 13,000
610 Salaries Expense 51,000 a 51,000
620 Supplies Expense d 58,000
630 Insurance Expense b 2,000
640 Depreciation Expense - Building c 9,000
650 Depreciation Expense - Equipment c 12,000
660 Transportation Out 4,000
670 Advertising Expense 6,000
680 Interest Expense 26,000
690 Miscellaneous Expense 7,000
TOTAL 7,030,020 7,030,020 132,000
NET INCOME
TOTAL
 Teresita Buenfalor Shoes
Worksheet
February 28, 2015
Adjustments Adjusted Trial Balance Income Statement Balance Sheet
CREDIT DEBIT CREDIT DEBIT CREDIT DEBIT
221,180 221,180
428,000 428,000
413,000 413,000 397,000 397,000
58,000 14,000 14,000
2,000 46,000 46,000
460,000 460,000
1,750,000 1,750,000
9,000 359,000
2,310,000 2,310,000
12,000 642,000
517,000
51,000 51,000
2,600,000
1,569,000
400,000 400,000

1,332,000 1,332,000
141,000 141,000
11,840 11,840
668,000 668,000
25,000 25,000
7,020 7,020
13,000 13,000
102,000 102,000
58,000 58,000
2,000 2,000
9,000 9,000
12,000 12,000
4,000 4,000
6,000 6,000
26,000 26,000
7,000 7,000
132,000 7,102,020 7,102,020 1,472,840 1,761,020 6,026,180
288,180
1,761,020 1,761,020 6,026,180
Balance Sheet
CREDIT

359,000

642,000
517,000
51,000
2,600,000
1,569,000

5,738,000
288,180
6,026,180
 Teresita Buenaflor Shoes
Income Statement
For the Month Ended February 28, 2015

Sales
Sales Discounts 11,840
Sales Returns and Allowances 141,000
Total Deductions for Sales
Net Sales
Cost of Sales
Merchandise Inventory, 2/1/2015 413,000
Purchases 668,000
Purchases Discounts 7,020
Purchases Returns and Allowances 25,000
Total Deductions for Purchases (32,020)
Net Purchases 635,980
Transportation In 13,000
Net Cost of Purchases 648,980
Total Goods Available for Sale 1,061,980
Merchandise Inventory, 2/28/2015 (397,000)
Cost of Sales
Gross Profit
Operating Expenses
Selling Expenses
Transportation Out 4,000
Advertising Expense 6,000
Total Selling Expenses 10,000
Administrative Expenses
Salaries Expense 102,000
Supplies Expense 58,000
Insurance Expense 2,000
Depreciation Expense - Building 9,000
Depreciation Expense - Equipment 12,000
Total Administrative Expenses 183,000
Total Operating Expenses
Operating Profit
Other Expenses
Intrest Expenses 26,000
Miscellaneous Expenses 7,000
Total Other Expenses
NET INCOME
1,332,000

(152,840)
1,179,160

(664,980)
514,180

(193,000)
321,180

(33,000)
288,180
 Teresita Buenaflor Shoes
Statement of Changes in Owner's Equity
For the Month Ended February 28, 2015

Buenaflor, Owner's Equity, 2/1/2015

Add: Profit
Total
Less: Withdrawals
Buenaflor, Owner's Equity, 2/28/2015
1,569,000
288,180
1,857,180
400,000
1,457,180
 Teresita Buenaflor Shoes
Balance Sheet
February 28, 2015

ASSETS
Current Assets
Cash 221,180
Accounts Receivable 428,000
Merchandise Inventory 397,000
Supplies 14,000
Prepaid Insurance 46,000
Total Current Assets
Non-Current Assets
Land 460,000
Building 1,750,000
Less: Accumulated Depreciation - Building 359,000
Building - Net 1,391,000
Equipment 2,310,000
Less: Accumulated Depreciation - Equipment 642,000
Equipment - Net 1,668,000
Total Non-Current Assets
TOTAL ASSETS

LIABILITIES AND OWNER'S EQUITY

Current Liabilities
Accounts Payable 517,000
Salaries Payable 51,000
Total Current Liabilities
Non-Current Liabilities
Mortgage Payable
Total Liabilities
Owner's Equity
Buenaflor, Capital, Feb. 28
TOTAL LIABILITIES AND OWNER'S EQUITY
1,106,180

3,519,000
4,625,180

568,000

2,600,000
3,168,000

1,457,180
4,625,180