PROBLEM:

JOHN BALA COMPANY

UNADJUSTED TRIAL BALANCE
DECEMBER 31, 2023
CASH 31,000.00
ACCOUNTS RECEIVABLE 83,000.00
MERCHANDISE INVENTORY 627,000.00
PREPAID INSURANCE 54,000.00
OFFICE SUPPLIES 68,000.00
OFFICE EQUIPMENT 370,000.00
ACCUMULATED DEPRECIATION 50,000.00
ACCOUNTS PAYABLE 58,000.00
BALA, CAPITAL 517,000.00
BALA, WITHDRAWALS 87,000.00
SALES 2,675,000.00
SALES RETURNS AND ALLOWANCES 26,000.00
SALES DISCOUNTS 23,000.00
PURCHASES 1,512,000.00
PURCHASE RETURNS AND ALLOWANCES 14,000.00
PURCHASE DISCOUNTS 19,000.00
FRIEGHT IN 38,000.00
SALARIES EXPENSE 327,000.00
ADVERTISING EXPENSE 61,000.00
RENT EXPENSE 26,000.00
TOTAL 3,333,000.00 3,333,000.00

Additional Information:
a. Merchandise Inventory at December 31, 2023 is ₱ 532,000.00
b. Insurance coverage with premiums of ₱ 18,000.00 has expired during the year.
c. Depreciation for the year amounted to ₱ 25,000.00
d. Office supplies remaining at year-end amounted to ₱ 15,000.00
e. Salaries in the amount of ₱9,000.00 have accrued as of December 31, 2019
f. Doubtful accounts are 5% of accounts receivable.
Required:
 Prepare Adjusting entries
 Prepare adjusted trial balance
 Prepare Worksheet
 Prepare Financial Statement
 Income Statement
 Balance Sheet
 Statement of Owner’s Equity