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  • 02 Laboratory Exercise Bernabe

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    Ella Ramos
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    The document records transactions made by a business over the course of a month. It begins with an initial deposit of $18,000 into the business bank account from personal funds. Throughout the month, the business purchases supplies, pays creditors, earns sales commissions, pays rent and other expenses, withdraws cash, and pays salaries. At the end of the month, the business determines its supplies on hand and the cost of supplies used during the period. The accounting equation is provided and balanced at the end, showing assets equal to liabilities plus owner's equity.

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    02_Laboratory_Exercise_Bernabe

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    The document records transactions made by a business over the course of a month. It begins with an initial deposit of $18,000 into the business bank account from personal funds. Throughout the month, the business purchases supplies, pays creditors, earns sales commissions, pays rent and other expenses, withdraws cash, and pays salaries. At the end of the month, the business determines its supplies on hand and the cost of supplies used during the period. The accounting equation is provided and balanced at the end, showing assets equal to liabilities plus owner's equity.

    Copyright:

    © All Rights Reserved
    Download as XLSX, PDF, TXT or read online from Scribd
    Flag for inappropriate content
    12 views3 pages

    02 Laboratory Exercise Bernabe

    Uploaded by

    Ella Ramos
    The document records transactions made by a business over the course of a month. It begins with an initial deposit of $18,000 into the business bank account from personal funds. Throughout the month, the business purchases supplies, pays creditors, earns sales commissions, pays rent and other expenses, withdraws cash, and pays salaries. At the end of the month, the business determines its supplies on hand and the cost of supplies used during the period. The accounting equation is provided and balanced at the end, showing assets equal to liabilities plus owner's equity.

    Copyright:

    © All Rights Reserved
    Download as XLSX, PDF, TXT or read online from Scribd
    Flag for inappropriate content
    of 3

    Transactions

    a. Opened a business bank account with a deposit account of P18,000 from personal funds
    b. Purchased office supplies on account, P3,200
    Balance
    c. Paid creditor on account, P1,800
    Balance
    d. Earned sales commission, receiving cash P36,750
    Balance
    e. Paid rent on office and equipment for the month, P4,000
    Balance
    f. Withdrew cash for personal use, P3,000
    Balance
    g. Paid automobile expenses for the month, P2,500. And miscellaneous expense, P1,200
    Balance
    h. Paid office salaries, P3,750
    Balance
    i. Determined that cost of supplies on hand was P1,550; therefore, the cost of supplies used was P1650
    Balance
    Balance
    Assets = Liabilities + OWNE

    + = Accounts + M. Canigan, - M. Ganigan, + Sales


    Cash Supplies Payable Capital Drawing Commission
    ₱ 18,000.00 + = + ₱ 18,000.00 - +
    + ₱ 3,200.00 = ₱ 3,200.00 + - +
    ₱ 18,000.00 + ₱ 3,200.00 = ₱ 3,200.00 + ₱ 18,000.00 - +
    -₱ 1,800.00 + = -₱ 1,800.00 + - +
    ₱ 16,200.00 + ₱ 3,200.00 = ₱ 1,400.00 + ₱ 18,000.00 - +
    ₱ 36,750.00 + = + - + ₱ 36,750.00
    ₱ 52,950.00 + ₱ 3,200.00 = ₱ 1,400.00 + ₱ 18,000.00 - + ₱ 36,750.00
    -₱ 4,000.00 + = + - +
    ₱ 48,950.00 + ₱ 3,200.00 = ₱ 1,400.00 + ₱ 18,000.00 - + ₱ 36,750.00
    -₱ 3,000.00 + = + - ₱ 3,000.00 +
    ₱ 45,950.00 + ₱ 3,200.00 = ₱ 1,400.00 + ₱ 18,000.00 - ₱ 3,000.00 + ₱ 36,750.00
    -₱ 3,700.00 + = + - +
    ₱ 42,250.00 + ₱ 3,200.00 = ₱ 1,400.00 + ₱ 18,000.00 - ₱ 3,000.00 + ₱ 36,750.00
    -₱ 3,750.00 + = + - +
    ₱ 38,500.00 + ₱ 3,200.00 = ₱ 1,400.00 + ₱ 18,000.00 - ₱ 3,000.00 + ₱ 36,750.00
    + -₱ 1,650.00 = + - +
    ₱ 38,500.00 + ₱ 1,550.00 = ₱ 1,400.00 + ₱ 18,000.00 - ₱ 3,000.00 + ₱ 36,750.00
    ₱ 40,050.00 = ₱ 40,050.00
    OWNER'S EQUITY

    - Rent - Salaries - Auto - Supplies - Misc.


    Expense Expense Expense Expense Expenses
    - - - - -
    - - - - -
    - - - - -
    - - - - -
    - - - - -
    - - - - -
    - - - - -
    - ₱ 4,000.00 - - - -
    - ₱ 4,000.00 - - - -
    - - - - -
    - ₱ 4,000.00 - - - -
    - - - ₱ 2,500.00 - - ₱ 1,200.00
    - ₱ 4,000.00 - - ₱ 2,500.00 - - ₱ 1,200.00
    - - ₱ 3,750.00 - - -
    - ₱ 4,000.00 - ₱ 3,750.00 - ₱ 2,500.00 - - ₱ 1,200.00
    - - - - ₱ 1,650.00 -
    - ₱ 4,000.00 - ₱ 3,750.00 - ₱ 2,500.00 - ₱ 1,650.00 - ₱ 1,200.00

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