Assessment

Directions: Answer the questions that follow. Write the letter of your answers on a separate sheet of
paper.

1. Which is the accounting equation?

A. assets= liabilities + owner’s equity
B. liabilities = assets + owner’s equity
C. owner’s equity = assets + liabilities
D. assets = revenue - expenses

2. What are the resources owned by the owners?

A. expenses B. liabilities C. revenues D. assets

3. Which term refers to the obligations of the business?

A. liabilities B. assets C. revenues D. owner’s equity

4. Which refers to the remaining amount of the assets after paying all the company’s liabilities?
A. revenues B. owner’s equity C. expenses D. net profits

5. What does an extended accounting equation include?

A. revenues and expenses
B. revenues and assets
C. expenses and liabilities
D. none of the above

6. When the owner invested cash on the business, what account/s increase/s?
A. assets and owner's equity C. liabilities and assets
B. assets only D. owner's equity only

7. Is there an effect on the assets account when the owner withdraws cash for personal use?
A. Yes, it decreases. C. Yes, it increases and decreases.
B. Yes, it increases. D. None of the above

8. What would be the effect to the liabilities of the business after availing loan from Panata Bank?
A. It remains the same. C. It increases.
B. It decreases. D.None of the above

9. Mr. Kim has assets of Php1,000,000.00 and liabilities of Php 300,000.00 What is his equity?
A. Php 700,000 B. Php 1,300,000 C. Php 800,000 D. 0

10. 10. The liabilities of Senshin’s Shop are Php 450,000 and his equity is Php 780,000. What is the
business' total assets?
A. Php 1,032,000 B. Php 1,320,000 C. Php 1,023,000 D. Php 1,230,000

Additional Activity
Directions: Analyze the transactions of Cindy Ilao Housekeeping Services during the month of August
2020. Record the transactions using the financial transaction worksheet. Write your answers on a separate
sheet of paper.

August 1– Ms. Ilao invested Php 1, 000,000.00 cash for her business.
2– Various equipment were purchased for the business amounting to Php 100,000.00

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 for cash.
4– Ilao Housekeeping Services was hired by a customer and they received a
payment of Php 5, 000.00.
5– Ilao paid Php 3,000.00 for the salary of the employees.
7– Another customer hired the service of Ilao Housekeeping. A bill was issued to
them for Php 10,000.00 of which 90% was collected.
13 – Ilao paid Php 2,000.00 for the telephone bill.
18 – Bought supplies on account from Mr. DIY Store, Php86, 900.
21 – Ilao invested again the amount of Php 50,000 in the business.
25 – The account on August 7 was finally collected in full.
28 – The De Guzman family hired Ilao Housekeeping Services to clean their mansion
mounting to Php 20,000.00. The family paid the amount of Php 5,000.00 and the
balance will be paid on August 30.
29 – Made partial payment to Mr. DIY Store, Php50, 000
30 – Ilao collected the balance from De Guzman family.

FABM 1 – Module 3
Name __________________________________________________________ Date ___________________________________
Grade and Section ______________________________________

What I Know
1. 6.
2. 7.
3. 8.
4. 9.
5. 10.

What’s In
1.

2.

What’s New
Assets Liabilities Owner's equity
1. Php 100,000.00 Php 50,000.00
2. Php 230,000.00 Php 200,000.00
3. Php 109,000.00 Php 9,000.00
4. Php 650,000.00 Php 500,000.00
5. Php 90,000.00 Php 700,000.00
6. Php 456,000.00 Php 67,000.00
7. Php 2,716,217.00 Php 1,729,000.00
8. Php 729,879.00 Php 167,000.00
9. Php 123,456.00 Php 789,100.00
10. Php 15,676.00 Php 13,780.00

What’s More
Transactions Assets Liabilities Owner's Equity
1. The owner invested cash in the business.
2. The owner withdrew cash for personal use.
3. The company received cash from a bank loan.

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 4. The company paid the bank loan.
5. The company purchased supplies on a cash
basis.
6. The owner contributed her personal computer
to the business.
7. The company purchased equipment on
account.
8. The company purchased a piece of land with
a down payment and signed note.
9. The owner bought furniture for the business
on account.
10. The company repaid its suppliers.

What I have Learned

Assets Liabilities Owner’s Equity
1.
2.
3.
4.
5.
6.
7.
8.
9.
10.

What I Can Do
Chinita Girl Spa Services
Financial Transaction Worksheet
Month of June, 2020

OWNER’S
Date ASSETS LIABILITIES EQUITY
Accounts Loans Accounts Kim, Other
June Cash Furniture Equipment Receivable Payable Payable Capital
Account
Title

1
2
7
15
18

20

21
22

24

25

27

30
30

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 Bal.
Total
Balances

Assessment
1. 6.
2. 7.
3. 8.
4. 9.
5. 10.

Additional Activity
Ilao Housekeeping Services Services
Financial Transaction Worksheet
Month of August, 2020
Date Assets Liabilities Owner’s Equity
August Cash Equipment Supplies Accounts Accounts Cindy Ilao, Other Account
Receivable Payable Capital Title
1
2
4
5
7
13
18
21
25
28
29
30

Balance
Total
Balances