ACCOUNTING EQUATION AND THE EVENTS

Transactions In PHP
1 Received cash as a gift then deposited in business bank acc. 120,000
2 Paid of beg. balance of A/P 54,000
3 Rendered service in cash 11,000
4 Received cash on account 7,500
5 Purchased supplies on account 7,200
6 Rendered services on account 50,000
7 Invested personal cash in the business 17,000
8 Paid office rent and advertising 12,000 6,600
9 Received cash for the supplies sold 800
10 Withdrawal of cash for personal use 24,000

Transactions A S
CASH A/R

BEG. BALANCE 17,200.00 22,400.00

1 Received cash as a gift then deposited in business bank acc. 120,000.00
2 Paid of beg. balance of A/P -54,000.00
3 Rendered service in cash 11,000.00
4 Received cash on account 7,500.00
5 Purchased supplies on account
6 Rendered services on account 50,000.00
7 Invested personal cash in the business 17,000.00
8 Paid office rent and advertising expense -18,600.00
9 Received cash for the supplies sold 800.00
10 Withdrawal of cash for personal use -24,000.00
Total 69,400.00 79,900.00
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EQUATION AND THE EVENTS WHICH AFFECTS THEIR VALUES

S E T S = LIAB I L TI ES +
SUPPLIES LAND A/P

241,000.00 = 54,000.00
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= -54,000.00
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7,200.00 = 7,200.00
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-800.00 =
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6,400.00 241,000.00 0.00 0.00 = 7,200.00 0.00 0.00 +
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396,700.00 = 396,700.00
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 EQUITY
CAPITAL

226,600.00
120,000.00

11,000.00
7,500.00

50,000.00
17,000.00
-18,600.00

-24,000.00
389,500.00
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