Problem and instructions:

INSTRUCTION: Read the transactions carefully and prepare a chart of

accounts for the major accounts for the following transactions completed by
Loren Merchandising.

Mar 1, 2019 Owner invested P260, 670.00 in a

business.
Mar 4, 2019 Purchased cabinet, P5,000.00
Purchased merchandise from
Mar 6, 2019 January Enterprise, P66,800 terms:
2/10, n/30
Mar 7, 2019 Purchased supplies, P3, 800.00.
Mar 8, 2019 Sold merchandise to Febby, P23,
200.00 terms: 2/10, n/30.
Mar 11, 2019 Paid freight on Mar 7 sales, P250.00
Paid January Enterprise in full
Mar 12, 2019 Collected Febby’s account in full
Purchased merchandise from Mars,
Mar 13, 2019 P15,644.00
Paid salaries, P3,000.00
Mar 14, 2019 Borrowed money from Trinity Bank,
Mar 15, 2019 signed a promissory note,
P50,000.00
Purchased merchandise from April,
Mar 18, 2019 P18,700.00 terms: 2/10, n/30
Paid freight on purchase, P660.00
Mar 19, 2019 Sold merchandise, P32, 400.00
Purchased merchandise, P15,300.00
Mar 21, 2019 Gave P8, 000.00 to April as partial
payment.
Mar 25, 2019 Loren withdrew cash from the
business for personal use, P8,600
Mar 28, 2019 Made cash refund to customer on
Mar 19 sales, P2,125.00.
Mar 29, 2019 Sold merchandise, P40,000.00
Paid the following: advertising-
Mar 31, 2019 P1,450.00, utility-970, rent,
P2,500.00 and salaries P3,000.00.