PRACTICE QUIZ - Quiz #1

Solutions to Problem Solving

Note: Items in Canvas are shuffled.

FDNACCT

Capital, beginning ₱ 195,000

Net income
Revenues ₱ 81,750
Expenses (55,000) 26,750
Drawings (5,000)
Capital, end ₱ 216,750

Liabilities ₱ 46,000
Capital, end 216,750
Assets ₱ 262,750

FDNACCT

Capital, beginning ₱ 99,000

Net income
Revenues ₱ 75,000
Expenses (62,000) 13,000
Capital, end ₱ 112,000

Assets ₱ 300,000
Capital, end (112,000)
Liabilities ₱ 188,000
FDNACCT

Income [Revenue] ₱ 20,000

Income are inflow of resources resulting from services provided for the period .
The P10,000 is for services to be rendered in November.

FDNACCT

Operating expenses ₱ 230,000

Interest expense 3,000
Total expense ₱ 233,000
Expenses are outflow of resources incurred for generating revenues for the period .
P50,000 is for equipment which is an asset.
P20,000 is for the bank loan, which is a payment of liability.

FDNACCT

Total Owner's Equity ₱ 195,000

Owner's Equity ratio ÷ 25%
Total Assets ₱ 780,000

Assets ₱ 780,000
Equity (195,000)
Liabilties ₱ 585,000
Yoon
Hye-jin

Capital, beginning ₱ 480,000 Given

Net Income
Revenues ₱ 180,000
Expenses (70,000) 110,000
Sub Total ₱ 590,000
Drawing (30,000)
Capital, end ₱ 560,000
Total Liabilities 90,000
Total Assets, end ₱ 650,000
Total Assets, beginning (480,000) Cash + Equipment + Supplies

Increase in asset ₱ 170,000

Adventure
Guild

Utilities paid ₱ 15,000

Utilities paid for previous month (7,000)
Utilities for the month [Decrease in Equity] ₱ 8,000
Expenses are outflow of resources incurred for generating revenues for the period .
Expenses are decreases in assets, or increases in liabilities,
that result in decreases in equity,
other than those relating to distributions to holders of equity claims.

Hargreeves

Revenues ₱ 273,500
Expenses (263,800)
Net income ₱ 9,700

Keating
 2018 Change 2019
Assets ₱ 650,000 + ₱85,000 ₱ 735,000
Liabilities (225,000) to ₱240,000* (240,000)
Owner's Equity ₱ 425,000 ₱ 495,000
* as given, increased TO means it's the final amount

My Hero

Beginning Ending
Assets ₱ 1,000,000 ₱ 1,450,000
Liabilities (650,000) (900,000)
Owner's Equity ₱ 350,000 ₱ 550,000

Workback
Owner's Equity, end ₱ 550,000
Owner's Withdrawal 363,000
Expenses 470,000
Sub-total ₱ 1,383,000
Owner's Capital, beginning (350,000)
Revenue ₱ 1,033,000

To check:
Normal presentation:
Owner's Capital, beginning ₱ 350,000
Additional investments 0
Net income 563,000
Sub-total ₱ 913,000
Owner's Withdrawal (363,000)
Owner's Equity, end ₱ 550,000

Revenue ₱ 1,033,000
Expenses (470,000)
Net income ₱ 563,000
Seong
Gi-hun

Initial Investment [Owner's Capital] ₱ 240,000 Beginning OE

Bank Loan 120,000 Liabilities
Total Assets, beginning ₱ 360,000

Owner's Capital, beginning ₱ 240,000

Net Income 48,700
Owner's Drawings (10,000)
Owner's Capital, end ₱ 278,700

Owner's Capital, end ₱ 278,700

Liabilities, beginning ₱ 120,000
Increase in liabilities 45,000 165,000
Assets, end ₱ 443,700

Jake
Peralta

Owner's Capital ₱ 100,000

Owner's financial interest in the business = Owner's equity
Shaun
Murphy

Assets Liabilities Owner's Equity

Beginning ₱ 100,000 ₱ - ₱ 100,000
End 150,000 10,000 140,000
Increase (Decrease) ₱ 50,000 ₱ 10,000 ₱ 40,000
No witthdrawals during the period, so the increase in OE is from the net income.

Total income ₱ 100,000

Net income (40,000)
Expenses ₱ 60,000

To check:
Normal presentation:
Owner's Capital, beginning ₱ 100,000
Additional investments -
Net income 40,000
Sub-total ₱ 140,000
Owner's Withdrawal -
Owner's Equity, end ₱ 140,000

Revenues ₱ 100,000 Given

Expenses (60,000)
Net income ₱ 40,000

Fazbear's

Calculate for the total assets.

Accounts receivable ₱ 23,000
Cash 17,500
Furniture and Fixtures 40,000
Assets ₱ 80,500

Calculate for the current liabilities.

Accounts payable ₱ 12,000
Accrued expense 2,000
Unearned revenue 5,000
Current liabilities ₱ 19,000