Sample Activity I

Journal Entries
Instruction: Label properly the journal and record the business
transactions.
Use the account titles below to record the business transactions
and choose the correct entries from the choices.

• CASH
• STORE SUPPLIES EXPENSE
• ACCOUNTS RECEIVABLE
• OFFICE SUPPLIES EXPENSE
• OFFICE FURNITURE AND FIXTURE
• UTILITIES EXPENSE
• ACCOUNTS PAYABLE
• TAXES AND LINCENSES
• YVONE IRIS SALCEDO, CAPITAL
• GASOLINE AND OIL
• YVONE IRISH SALCEDO, DRAWING
• SALARIES AND WAGES
• SALES
• RENT EXPENSE
• PURCHASES
Business Transactions
Dec 1 Yvone Iris Salcedo opened her small poultry products
business with the approved trade name of Fresh Poultry
Store. The business is located at Jalipa Street,
Pigcawayan, Cotabato. She made an initial investment of
P350,000 in the form of cash.

CHOICES
Debit Side Credit Side
a. Cash 350,000 a. Accounts Payable 350,000
b. Accounts Receivable 350,000 b. Yvone Iris Salcedo, Capital 350,000
c. Yvone Iris Salcedo, Capital 350,000 c. Cash 350,000
Business Transactions
Dec 2 Bought office furniture and fixtures from Hyzel Company
amounting to P40,000 as evidenced by the delivery
receipts and invoices; Made a down payment of P15,000

CHOICES
Debit Side Credit Side
a. Purchase 40,000 a. Cash 15,000
b. Store Supplies Expense 40,000 b. Accounts Payable 25,000
c. Office Furniture and Fixtures 40,000 c. Store Supplies Expense 25,000
Business Transactions
Dec 4 Purchased various poultry products from Nicanor Poultry
Farms amounting to P90,000; Paid P40,000 and was
issued a charge invoice for the balance.

CHOICES
Debit Side Credit Side

a. Accounts Payable 90,000 a. Store Supplies Expense 50,000

b. Purchases 90,000 b. Cash 40,000
c. Cash 90,000 c. Accounts Payable 50,000
Business Transactions
Dec 5 Bought various office and store supplies as evidenced by
an official receipt from the seller for the following:
Office supplies P 2,500
Store supplies 3,000

CHOICES
Debit Side Credit Side

a. Office Supplies 2,500 a. Purchases 5,500

b. Purchases 2,500 b. Cash 5,500
c. Store Supplies 3,000 c. Store Supplies Expenses 5,500
Business Transactions
Dec 8 Sold product to various bakeries and restaurants as
evidenced by a charge invoice amounting to P45,000.

CHOICES
Debit Side Credit Side

a. Accounts Receivable 45,000 a. Purchases 45,000

b. Sales 45,000 b. Accounts Payable 45,000
c. Cash 45,000 c. Sales 45,000
Business Transactions
Dec 10 Sold various poultry farm products to walk-in customers
as evidenced by official receipts amounting to P28,000.

CHOICES
Debit Side Credit Side

a. Accounts Receivable 28,000 a. Purchases 28,000

b. Sales 28,000 b. Accounts Payable 28,000
c. Cash 28,000 c. Sales 28,000
Business Transactions
Dec 12 Paid the account balances to Hyzel Company and
Nicanor Poultry Farms as evidenced by official
receipts from the suppliers.

CHOICES
Debit Side Credit Side
a. Accounts Payable 75,000 a. Sales 75,000
b. Purchases 75,000 b. Accounts Payable 75,000
c. Cash 75,000 c. Cash 75,000
Business Transactions
Dec 15 Paid the following expenses as evidenced by various official
receipts and other business documents receipts:
Rental for the month P 4,000
Light and water 6,000
Taxes and licenses 5,000
Gasoline and oil 2,000
Salaries and wages 10,000
CHOICES
Debit Side Credit Side
a. Rent Expenses 4,000 a. Cash 27,000
b. Utilities Expenses 6,000 b. Accounts Payabl 27,000
c. Taxes and Licenses 5,000 c. Purchase 27,000
d. Gasoline and Oil 2,000
e. Salaries and Wages 10,000
f. Accounts Receivable 12,000
g. Purchases 15,000
Business Transactions
Dec 18 Collected in full the sale made on December 8 as
evidenced by the official receipts issued.

CHOICES
Debit Side Credit Side

a. Accounts Payable 45,000 a. Purchases 45,000

b. Cash 45,000 b. Accounts Receivable 45,000
c. Sales 45,000 c. Cash 45,000
Business Transactions
Dec 20 Bought various poultry products from Nicanor Poultry
Farm amounting to P120,000. Made a down payment of
P50,000 and was issued a charge invoice for the
balance.

CHOICES
Debit Side Credit Side
a. Accounts Receivable 120,000 a. Purchases 70,000
b. Purchases 120,000 b. Accounts Payable 70,000
c. Store Supplies Expenses 120,000 c. Cash 50,000
Business Transactions
Dec 22 Sold various poultry products to customers as follows:
Walk-in customers evidenced P 32,000
by official receipts
Restaurants and bakeries evidenced 80,000
by charge invoice

CHOICES
Debit Side Credit Side

a. Cash 32,000 a. Purchases 112,000

b. Sales 80,000 b. Sales 112,000
c. Accounts Receivable 80,000 c. Cash 112,000
Business Transactions
Dec 26 Withdrew P15,000 for her personal use.

CHOICES
Debit Side Credit Side

a. Yvone Iris Salcedo, Drawing 15,000 a. Accounts Receivable 15,000

b. Cash 15,000 b. Sales 15,000
c. Accounts Receivable 15,000 c. Cash 15,000
Business Transactions

Dec 30 Made a partial payment of P30,000 to Nicanor Poultry Farm; Received partial
collection from the sale on December 22 amounting to P45,000; Paid the salaries
of the workers, P12,000.

CHOICES
Debit Side Credit Side

a. Purchase 30,000 a. Accounts Receivable 30,000

b. Cash 30,000 b. Purchase 30,000
c. Accounts Payable 30,000 c. Cash 30,000

a. Cash 45,000 a. Purchases 45,000

b. Sales 45,000 b. Accounts Receivable 45,000
c. Accounts Receivable 45,000 c. Cash 45,000

a. Salaries and Wages 12,000 a. Sales 12,000

b. Cash 12,000 b. Accounts Payable 12,000
c. Purchases 12,000 c. Cash 12,000
YOU’RE DOING WELL! J