GENERAL PHARMACY 04.

07 To record purchased MDSE

Periodic Purchases 60,000
Case 1 Cash 60,000
04-04-20 To record purchased
medicines and other related products to
04-09 To record sold MDSE on credit to
Ipil-ipil Pharmaceutical Company on
Laguna Company
credit
A/R 72,000
Purchase 120,000
Sales 72,000
Freight In 2,500
04-10 To record paid purchased
A/P 120,000
medicines and other related products to
Cash 2,500 Ipil-ipil Pharmaceutical Company
04-04 To record payment of freight A/P 116,400
A/P 10,000 Cash 116,400
Freight In 1,200 04-12 To record received returned.
Purchased Return and Allowance Cash 5,000
10,000
Purchased Return and Allowance
Cash 1,200 5,000
04-13-20 To record received full
payment from Laguna Corporation
04-05 To record sold MDSE to various
customer Cash 71, 280
Cash 36,000 A/R 71, 280
Sales 36,000

04-06 To record returned defective

MDSE
Accounts Payable 10,000
Freight In 1,200
Purchase R&A 10,000
Cash 1,200
Case 2
04.02.20
Purchases 450,000
A/P 450,000 Activity 31

Freight Out 6,500 Journal Entries

Cash 6,500 09-01-20

Accounts Payable 10,000 Cash 100,500

Purchased R&A 10,000 Office Equipment 33,200

04.12.20 Bonita, Capital 150,500

A/P 44,100 09-02

Sales Discount 900 Purchases 20,000

Cash 450,000 Cash 20,000

09-03

Cash 10,600
Case 3
Sales 10,600
Accounts Receivable 450,000
09-06
Sales 450,000
Purchases 26,500
Freight In 6,500
Cash 13,250
Cash 6,500
Accounts Payable 13,250
Sales R&A 10,000
09-07
Accounts Payable 10,000
Accounts Receivable 12,500
04.12.20
Sales 12,500
Cash 450,000
09-08
Sales Discount
Purchase 6,000
Accounts Receivable 45,100
Cash 3,000
Sales Discount 900
Accounts Payable 3,000
 Accounts Receivable 14,000

09-09

Accounts Receivable 14,000 09-25

Sales 14,000 Rent Expense 5,000

Freight In 800 Withholding taxes Payable 250

Cash 800 Cash 4,750

09-12 09-30

Purchase 4,000 Salaries Expense 8,000

A/P 4,000 SSS Payable 200

09-14 PHIC Payable 100

Cash 6,350 HDMF Payable 100

Sales 6,350 Cash 7,600

09-15

Salaries Expense 8,000 T- Account

Cash 8,000

09-16 Trial Balance

Accounts Payable 3,000 Sept. 31, 2020

Purchased Discount 30

Cash 2,970

09-17

Cash 12,250

Sales Discount 250

A/R 12,500

09-22

A/P 4,000

Cash 4,000

09-24

Cash 13,720

Sales Discount 280

 Activity 33

Case 1.

Case 1.a - Allowance for Doubtful Account 22,000 + 18,000 = 40,000

Case 1.b - Doubtful Account Expense 18,000

Case 1.c - Doubtful Account Expense 18,000

Allowance for Doubtful Account 18,000

Case 2

Case 2.a – Prepaid Insurance 36,000 + 4,500 = 40,500

Case 2.b – Insurance Expense 4,500

Case 2.c – Net Profit will be understated

Case 2.d – Insurance Expense 4,500

Prepaid Insurance 4.500

Case 3

Case 3.a – Accumulated Depreciation – Equipment 150,000 + 30,000 = 180,000

Case 3.b – Depreciation Expense 30,000

Case 3.c – Depreciation Expense – Equipment 30,000

Accumulated Depreciation – Equipment 30,000

Case 3.d – Net Profit will not be affected

Case 4

Cost of Sales

Merchandise Inventory, Beginning - 220,000

Add: Net Purchase – 950,000

Freight In - 22,000

Goods Available for Sale – 1,192,000

Less: MDSE Inventory, Ending – (230,000)

Cost of Sales – 962,000

Case 4.a – Cost of goods available for sale - 1,192,000

Case 4.b – Cost of Sales – 962,000

Case 4.c – Both Beginning and Ending will be deducted to the Net Profit of the company

Case 5

Case 5.a – Supplies 40,000

Supplies Expense 40,000

Case 5.b – Asset will be overstated

Case 5.c – Supplies – 20,000