ACCOUNTING EQUATION TABULAR ANALYSIS

Transactions of Abad's Accounting Firm for the month of August of the current
year. Date
1 Mr. Abad opened an accounting firm by investing P50,000 cash. Aug-01
3 Paid the office rent for three months in advance P4,500. 3
5 Purchased office supplies from Goodwill Bookstore on credit P1,500. 5
7 Purchased tables and chairs from Kevin Company worth P20,000 for cash. 7
9 Received cash P10,000 for the accounting service rendered. 9
11 Paid the salary of office clerks, P15,000. 11
Received statement of account from Richard Printers for advertising materials
13 used, P5,000. 13
15 Sent a bill to Client A for service rendered, P21,000. 15
17 Received a check from Client A as partial payment of his account, P10,000. 17
19 Paid the telephone expense for the month, P1,200. 19
21 Issued a 30-day, promissory note to PCIB for funds borrowed, P30,000. 21
The owner made an additional investment: cash – P50,000; office equipment –
23 P10,000. 23
25 The owner withdrew cash, P8,000 for personal use. 25
Total

Assets
Liabilities
Capital
 ASSETS = LIABILITIES +
Accounts Office Furniture & Office Prepaid Accounts
Cash Receivable Supplies Fixture Equipment Rent Payable
50,000.00
- 4,500.00 4,500.00
1,500.00 1,500.00
- 20,000.00 20,000.00
10,000.00
- 15,000.00

5,000.00
21,000.00
10,000.00 - 10,000.00
- 1,200.00
30,000.00

50,000.00 10,000.00
- 8,000.00
₱101,300.00 ₱11,000.00 ₱1,500.00 ₱20,000.00 ₱10,000.00 ₱4,500.00 ₱6,500.00

₱148,300.00
₱36,500.00
₱111,800.00 ₱148,300.00
LIABILITIES + Capital
Notes
Payable Abad, Capital
50,000.00

10,000.00
- 15,000.00

- 5,000.00
21,000.00

- 1,200.00
30,000.00

60,000.00
- 8,000.00
₱30,000.00 ₱111,800.00
 ACCOUNTING EQUATION TABULAR ANALYSIS
A
Juan Jacobs owns and operates the J Designs, and interior design studio. The
following transactions occurred during the March of the current year. Date
Balances
1 J. Jacobs deposited P80,000 in the business bank account. Mar-01
3 Performed services for a client and received P28,000 cash. 3
5 Paid off the beginning balance of Accounts Payable. 5
7 Purchased supplies on account, P10,000. 7
9 Collected cash from customer on account, P4,000. 9
11 Paid salaries of employees, P16,800 11
13 Billed clients for services rendered, P96,000. 13
Paid the following business expenses: Office rent, P18, 000 and Advertising,
15 P4,000. 15
17 Returned defective supplies bought last March 7, P3,000. 17
19 Withdrew cash of P10,000 for personal use. 19
Total

Assets
Liabilities
Capital
 ASSETS = LIABILITIES + Capital
Accounts Office Accounts J.Jacobs,
Cash Receivable Supplies Land Payable Capital
9,000.00 6,000.00 - 48,000.00 32,000.00 31,000.00
80,000.00 80,000.00
28,000.00 28,000.00
- 32,000.00 - 32,000.00
10,000.00 10,000.00
4,000.00 - 4,000.00
- 16,800.00 - 16,800.00
96,000.00 96,000.00

- 22,000.00 - 22,000.00
- 3,000.00 - 3,000.00
- 10,000.00 - 10,000.00
₱40,200.00 ₱98,000.00 ₱7,000.00 ₱48,000.00 ₱7,000.00 ₱186,200.00

₱193,200.00
₱7,000.00
₱186,200.00 ₱193,200.00