BASALO, MARIELLE M.

BSA 4-2

Problem 3-5

a. Receipt of notice of appropriation amounting to P1,000,000.

Recording in the Registry of Appropriations and Allotments (RAPAL).

b. Receipt of allotment from DBM amounting to P980,00.

Recording in the Registry of Appropriations and Allotments (RAPAL) and appropriate
Registries of Allotments, Obligations and Disbursements (RAOD).

c. Incurrence of obligations amounting to P880,000.

Recording in the Registries of Allotments, Obligations and Disbursements (RAOD) and
Obligation Request and Statues (ORS).

d. Receipt of Notice of Cash Allocation amounting to P850,000.

Cash-Modified Disbursement System (MDS), Regular 850,000

Subsidy from National Government 850,000
To recognize receipt of NCA from DBM

e. Accrual of P500,000 salaries upon approval of payroll. The breakdown is as follows:

Salaries and Wages P450,000
Personal Economic Relief Allowance (PERA) 50,000
Gross Compensation P500,000

Withholding Tax P125,000

GSIS 25,000
Pag-IBIG 20,000
PhilHealth 12,000
Total Salary Deductions P182,000

Salaries and Wages, Regular 450,000

Personal Economic Relief Allowance (PERA) 50,000
Due to BIR 125,000
Due to GSIS 25,000
Due to Pag-IBIG 20,000
Due to PhilHealth 12,000
Due to Officers and Employees 318,000
To recognize payable to officers and employees upon approval of payroll
f. Granting of cash advance for the payroll.

Advances for Payroll 318,000

Cash-Modified Disbursement System (MDS), Regular 318,000
To recognize grant of cash advance for payroll

g. Liquidation of the cash advance for payroll.

Due to Officers and Employees 318,000

Advances for Payroll 318,000
To recognize liquidation of Payroll Fund

h. Receipt of delivery of purchased office supplies worth P200,000 from current year’s
obligation.

Office Supplies Inventory 200,000

Accounts Payable 200,000
To recognize delivery of office supplies.

i. Payment of P180,000 accounts payable. Taxes withheld amount to P10,000.

Accounts Payable 180,000

Due to BIR 10,000
Cash-Modified Disbursement System (MDS), Regular 170,000
To recognize payment of accounts payable

j. Remittance of other amounts withheld to the BIR.

Cash-Tax Remittance Advice 135,000

Subsidy from National Government 135,000
To recognize the constructive receipt of NCA for TRA

Due to BIR 135,000

Cash-Tax Remittance Advice 135,000
To recognize the constructive remittance of taxes withheld to the BIR
through TRA

k. Remittance of other amounts withheld to the other government agencies concerned.

Due to GSIS 25,000

Due to Pag-IBIG 20,000
Due to PhilHealth 12,000
Cash-Modified Disbursement System (MDS), Regular 57,000
To recognize remittance to GSIS, Pag-IBIG and PhilHealth
l. Billing of revenue for Power Supply System Fees amounting to P200,000.

Accounts Receivable 200,000

Power Supply System Fees 200,000
To recognize billing of income

m. Collection of P200,000 from billed revenue and remittance of the total collection to the
National Treasury

Cash - Collecting Officers 200,000

Accounts Receivable 200,000
To recognize collection of billed income

Cash - Treasury/Agency Deposit, Regular 200,000

Cash - Collecting Officers 200,000
To recognize remittance of income to BTr

n. Reversion of unused NCA

Subsidy from National Government 305,000

Cash-Modified Disbursement System (MDS), Regular 305,000

Cash-Modified Disbursement System (MDS), Regular

Receipt of NCA 850,000 318,000 Advances for payroll
170,000 Payment of accounts
57,000 Remittances to other
government agencies
305,000 end

o. How much is reported as unreleased appropriation in the entity’s Budget Accountability

Report?
Appropriation P1,000,000
Allotment (980,000)
Unreleased Appropriation P20,000

p. How much is reported as unobligated allotment in the entity’s Budget Accountability

Report?
Allotment P980,000
Obligations (880,000)
Unobligated Allotment P100,000
q. How much is reported as Not yet Due and Demandable Obligations in the entity’s
Budget Accountability Report?
Obligations P880,000
Gross Compensation (500,000)
Purchase of Office Supplies (200,000)
Not yet Due and Demandable Obligations P180,000
Problem 3-6.

1. Receipt of P1,000,000 NCA

Cash-Modified Disbursement System (MDS), Regular 1,000,000

Subsidy from National Government 1,000,000
To recognize receipt of NCA from DBM

2. Remittance to the BIR of P100,000 taxes withheld

Cash-Tax Remittance Advice 100,000

Subsidy from National Government 100,000
To recognize the constructive receipt of NCA for TRA

Due to BIR 100,000

Cash-Tax Remittance Advice 100,000
To recognize the constructive remittance of taxes withheld to the BIR
through TRA

3. Receipt of P1,000,000 allotment

Recording in the Registry of Appropriations and Allotments (RAPAL) and appropriate
Registries of Allotments, Obligations and Disbursements (RAOD).

4. Receipt of P1,200,000 appropriation

Recording in the Registry of Appropriations and Allotments (RAPAL).

5. Entering into a purchase contract for future delivery. The contract price is P500,000
Recording in the Registries of Allotments, Obligations and Disbursements (RAOD) and
Obligation Request and Statues (ORS).

6. Entering into employment contracts worth P200,000

Recording in the Registries of Allotments, Obligations and Disbursements (RAOD) and
Obligation Request and Statues (ORS).
7. Billing of P250,000 revenue for Affiliation Fees, subsequent collection of P200,000
therefrom, and full remittance of the collection to the BTr

Account Receivable 250,000

Affiliation Fees 250,000
To recognize billing of income

Cash - Collecting Officers 200,000

Accounts Receivable 200,000
To recognize collection of billed income

Cash - Treasury/Agency Deposit, Regular 200,000

Cash - Collecting Officers 200,000
To recognize remittance of income to BTr

8. Reversion of P50,000 unused NCA

Subsidy from National Government 50,000

Cash-Modified Disbursement System (MDS), Regular 50,000
To recognize the reversion of unused NCA

9. Receipt of office equipment purchased on account for P100,000

Office Equipment 100,000

Accounts Payable 100,000
To recognize office equipment

10. Payment of accounts payable from purchase of office supplies worth P60,000. Tax
withheld amount to P3,000

Accounts Payable 60,000

Due to BIR 3,000
Cash-Modified Disbursement System (MDS), Regular 57,000
To recognize payment of office supplies on account.