P2-3/56

Prepare the statement of financial position of Magna Company.

Place your answer below.

Magna Company
Statement of Financial Position
December 31, 2021

Assets
Current Assets
Cash ₱ 400,000.00
Account Receivables (1) ₱ 700,000.00
Inventories ₱ 800,000.00
Prepaid Expenses ₱ 100,000.00
Short term Investment ₱ 100,000.00
Total Current Assets

Non-Current Assets
Propert, Plant and Equipment (2) ₱ 7,150,000.00
Long Term Investment (3) ₱ 300,000.00
Intangible Assets (4) ₱ 300,000.00
Total Non-Current Assets

TOTAL ASSETS

Liabilities and Shareholder's Equity

Current Liabilities
Trade Payables (5) ₱ 1,000,000.00
Total Current liabilities

Non-Current Liabilities
Notes Payables ₱ 300,000.00
Bond payables ₱ 1,900,000.00
Total Non-Current Liabilities

Equity
Preference share, no par, P5 stated value,
authorized 300,000 shares, issued 150,000 shares ₱ 750,000.00
Ordinary share, P20 par value, authorized 400,000
Shares, issued 100,000 shares ₱ 2,000,000.00
Reserves (6) ₱ 1,450,000.00
 Retained Earnings ₱ 2,450,000.00
Total Shareholder’s Equity

TOTAL LIABILITIES AND SHAREHOLDER'S EQUITY

Notes:

1 Accounts Receivable ₱ 750,000.00

Allowance for Doubtful accounts -₱ 50,000.00
Total Cash and Cash Equivalent ₱ 700,000.00

2 Building ₱ 5,000,000.00
Equipment ₱ 1,400,000.00
Land ₱ 2,750,000.00
Accumulated Depreciation -₱ 2,000,000.00
Property, Plant and Equipment ₱ 7,150,000.00

3 Investment in Securities ₱ 250,000.00

Cas Surrender Value ₱ 50,000.00
Total Cash and Cash Equivalent ₱ 300,000.00

4 Francise ₱ 100,000.00
Goodwill ₱ 200,000.00
Intangible Assets ₱ 300,000.00

5 Account Payables ₱ 400,000.00

Income Tax Payables ₱ 150,000.00
Notes Payables ₱ 450,000.00
Trade Payabes ₱ 1,000,000.00

6 Excess of Stated ₱ 250,000.00

Excess of Par ₱ 1,000,000.00
Appropriations for Contigencies ₱ 200,000.00
Share Capital End ₱ 1,450,000.00
 Compare and contrast the statement of financial position of Magna Company with tha
What are the similarities and differences between the two? Place your answer below.

The similarities of the financial position of Magna Company and Solar Philippines Nuev
the presentation showing the current assets and non-current assets, as well as the cur
current liabilities, and they both have notes provided to check the detailed information
differences are the information that was posted, for Magna Comapny it shows only the
while for Solar Philippines NE it shows also the 2021 and 2020 for comparison. And ano
items which is more complicated for Solar Philippines compare to Magna Company.

₱ 2,100,000.00

₱ 7,750,000.00

₱ 9,850,000.00

₱ 1,000,000.00

₱ 2,200,000.00
₱ 6,650,000.00

₱ 9,850,000.00
 of Magna Company with that of your adopted company.
o? Place your answer below.

y and Solar Philippines Nueva Ecija Corporation are

ent assets, as well as the current liabilities and non-
heck the detailed information in every line items. The
na Comapny it shows only the 2021 Financial Position
020 for comparison. And another thing is the line
mpare to Magna Company.
 P2-4/57

Prepare the statement of financial position of Boracay Company.

Place your answer below.

Boracay Company
Statement of Financial Position
December 31, 2021

ASSETS
Current Assets
Cash (1) ₱ 1,200,000.00
Trade and other Receivables (2) ₱ 1,000,000.00
Financial Assets ₱ 400,000.00
Inventory ₱ 1,000,000.00
Office Supplies ₱ 50,000.00
Total Current Assets

Non-current Assets
PPE (3) ₱ 3,950,000.00
Godwill ₱ 100,000.00
Total Non-current Assets

Total Assets

LIABILITIES AND SHAREHOLDER'S EQUITY

Current Liabilites
Trade Payables ₱ 1,500,000.00
Other Payables (4) ₱ 550,000.00
Total Current Payables

Non-current Liabilities
Mortgage Payables ₱ 2,000,000.00
Total Non-current Payables

Equity
Ordinary share, P100 par value, issued 30,000 shares ₱ 3,000,000.00
Share Premium ₱ 200,000.00
Retained Earnings ₱ 450,000.00
Total Equity
 Total Liabilities and Shareholder's Equity

Notes

1 Money Market 500,000

Cash 700,000
Total Cash and Cash Equivalent 1,200,000

2 Account Receivables 800,000

Note Receivables 200,000
Trade and other Receivables 1,000,000

3 Land 1,000,000
Office Equipment 250,000
Building 3,000,000
Acc. Dep- Building (300,000)
Property, Plant and Equipment 3,950,000

4 Accrued Salaries 250,000

Accrued Interest 200,000
Tax Payables 100,000
Other Payables 550,000

5 Net Asset 4,200,000

Contributed Capital (3,200,000)
Excess retained earnings 1,000,000

Depreciation (300,000)
Accrued Salaries (250,000)
Retained Earnings 450,000
 ₱ 3,650,000.00

₱ 4,050,000.00

₱ 7,700,000.00

UITY

₱ 2,050,000.00

₱ 2,000,000.00

₱ 3,650,000.00
₱ 7,700,000.00