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CARLOS HILADO MEMORIAL STATE UNIVERSITY Alijis Campus, Bacolod City Date: Name/Course/Year/Section:Angel Babes B. Albarico BSIT2A Score: MINI-PRACTICE SET - PART II COMPLETE ACCOUNTING CYCLE - MERCHANDISING BUSINESS 1 Acct Acct Number ASSETS Number INCOME 111 Cash 400 Sales 112 Petty Cash Fund 401 Sales Discounts 113 Accounts Receivable 402 Sales Returns & Allowances 114 Allowance for Bad Debts 115 Merchadise Inventory COST 116 Office Supplies 500 Purchases 117 Prepaid Rent 501 Purchase Discounts 118 Input Tax 502 Purchase Returns & Allowances 120 Furnitures & Fixtures 503 Freight In/Transportation In 121 Accum Deprn - Furn & Fixtures 122 Store Equipment 123 Accum Deprn - Store Equipt LIABILITIES EXPENSES 200 Accounts Payable 504 Bad Debts 201 Output Tax 506 Depreciation Expense 202 VAT Payable 507 Salaries & Wages 203 SSS Premium Payable 508 Taxes & Licenses 204 Philhealth Prem Payable 509 Freight Out/Transportation Out 205 Pag-ibig Prem Payable 510 Utilities Expense 206 Withholding Tax Payable 511 Supplies Used 512 Rent Expense CAPITAL 513 SSS Contribution 300 Jean, Capital 514 Philhealth Contribution 301 Jean, Withdrawals 515 Pag-ibig Contribution 302 Income & Expense Summary 520 Miscellaneous Expense 2 The company has already closed the last year's books of accounts and given below are the new The company uses calendar as their accounting period. NEW JOYJEAN Enterprise Post Closing Trial Balance December 31, ( last year) Account Title Debit Account Title Credit 111 Cash in Bank Php 214,000 114 Allowance for Bad Debts Php 4, 112 Petty Cash Fund 1,000 121 Accum Deprn - Furn & Fixt. 45, 113 Accounts Receivable 50,000 123 Accum Deprn - Store Equipt 8, 115 Merchadise Inventory 180,000 200 Accounts Payable 111, 116 Office Supplies 11,000 202 VAT Payable 21, 117 Prepaid Rent 20,000 203 SSS Premium Payable 3, 120 Furnitures & Fixtures 230,000 204 Philhealth Prem Payable 900 122 Store Equipment 160,000 205 Pag-ibig Prem Payable 1, 206 Withholding Tax Payable 2, 300 Jean, Capital 669, Total Php 866,000 Total 866, (These are posted to their respective General Ledger as opening balance for new acctg. period) New JOYJEAN Enterprise began its operation last year. The following are the account titles listed in chart of accounts set of books and the Post Closing Trial Balance for the opening balances of the current year.
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3 The following Schedules of Accounts Receivable and Accounts Payable were prepared as of December 31, (last year) A Schedule of Accounts Receivable B Schedule of Accounts Payable Billy Company ₱ 25,000 Agnes Corpporation ₱ 76, Cecil Company 10,000 Sita Company 35, Joy Enterprise 15,000 Total 111, Total 50, (^4) NARRATIVE TRANSACTIONS DURING THE MONTH OF JANUARY OF CURRENT YEAR: Jan 3 Issued check No.5361 to City Govt. in payment of business permit and license amounting P 14,850. This is covered by Check Voucher No. 001 6 Purchased merchandise on account from the following suppliers: Supplier Term Charge Inv# Cost VAT Total Sita Company 10/15, n/30 3610 120,000 14,400 134, Agnes Corp. n/30 1923 18,000 2,160 20, Total 138,000 16,560 154, 8 Sold merchandise on account to the following customers: Total Customer Term Charge Inv # Amount VAT Amount Joy Enterprise 10/15, n/30 942 80,000 9,600 89, Cecil Company n/30 943 35,000 4,200 39, Billy Company n/30 944 40,000 4,800 44, Total 155,000 18,600 173, 9 Issued Check No.5362 to MV Sweet Joy in payment of freight and handling as per bill of lading in the amount of P3,450. This covered by Check Voucher No. 002 Freight on shipment to customers 2,450 delivery charge to customer Freight on shipment from suppliers 1,000 delivery charge by supplier Total 3, 10 Issued Check No. 5363 payable to Social Security System (SSS), P3,242 for the remittance of SSS premium contribution for the month of December (last year). This is covered by Check Voucher No. 003 10 Issued Check No. 5364 payable to Philhealth Insurance Corp. in the amount of P 900 for the remittance of Philhealth Premium contribution for the month of December (last year). This is covered by Check Voucher No. 004 10 Issued Check No. 5365 payable to Home Devt. Mutual Fund, P 1,000 for the remittance of Pag-ibig premium contribution for the month of December (last year) covered by Check Voucher No. 005 10 Issued Check No. 5366 payable to Bureau of Internal Revenue in the of P2,500 for the remittance of tax withheld from the employees' salaries for the month of Dec. (last year). This is covered by Check Voucher No. 006. 12 Issued credit memo No.5 to Billy Company for returning the goods bought from us on account last January 8 amounting P 3,300 (including 12% VAT)
remitted to the BIR on the 10th day of the following month. b) Provision for bad debts is estimated at 2% of net sales. c) Pepaid rent at the end of January of the current year is P15,000. d) Depreciation of Furniture and Fixtures of P 3,800 and Store Equipment of P2,500 during the month were not recorded. e) Supplies inventory at the end of January is estimated at P 8,000. f) Employer share in the payroll is to be recorded as follows: SSS & EC Premium (^) 1, Phil-Health Prem 450 Pag-ibig Prem Cont 500 Total 2, g) Merchandise Inventory ending is estimated at P 253,000. h) Acquisition of add'l Store Equipment on account of P80,000 was not recorded. Jeanjoy Trading Corp. issued supplier invoice No. 1065, dated Janaury 30, FOB shipping point, term n/30. IMPORTANT NOTE: For purpose of illustrating the complete acctg cycle, the month of January as given in the trasactions above is presumed to be the last month of the current year. REQUIREMENTS: page 3 1) JOURNALIZE the foregoing transactions in a two-column General Journal with brief explanations.
2) JOURNALIZE the foregoing transactions as given in the respective special journals
3) POST the entries in the general ledger accounts. Make appropriate posting references.
4) PREPARE trial balance as of January of the current year.
5) JOURNALIZE the foregoing additional data for adjustments in the General JOURNAL
6) PREPARE and COMPLETE the 10-column worksheet.
7) PREPARE Financial Statements:
Statement of Comprehensive Income
Statement of Financial Position and Statement of Changes in Owner's Equity
Cash Flow Statement
8) PREPARE schedules of: Accounts Receivable and Accounts Payable
9) PREPARE Closing Entries at the end of December 31 of the current year.
10) PREPARE Post Closing Trial Balance as of December 31 of the current year.
11) WRITE your learnings in this subject (ACTGFU)
12) ACCOMPLISH the above requirements (1-10) before the Final examination.
GOODLUCK! By: Dr Joel T. Balidio, CPA - Instructor
JOURNALS I General Journal GJ 2 column journal - Debit and Credit II Special Journal This is use to journalize a specific type of business tra a) Cash Receipts Journal CRJ All cash receipts transactions b) Cash Disbursements Journal CDJ All cash payments/disbursements transactions c) Sales Journal SJ All credit sales/Sales on account transactions d) Purchase Journal PJ All credit purchases/purchase on account transactions LEDGERS I General Ledger GL II Subsidiary Ledger a) Accounts Receivable Subsidiary Ledger ARSL All credit sales/Sales on account transac b) Accounts Payabale Subsidiary Ledger APSL All credit purchases/purchase on accoun d in chart of accounts:
CM#5 Sales returns
Remittance to PLDT 30 Salaries & Wages 32, Withholding Tax Payable 2, SSS Premium Payable 1, Philhealth Prem Payable 450 Pag-ibig Prem Payable 500 Cash in Bank 27, Payment of payroll
e of business transactions unt transactions
Total amount 134,400. VATable amt 120,000. Discount 10% (12,000.00) Input tax (1,440.00) Net cash payment 120,960. Total amount 89,600. Vatable Amt 80,000. Discount 10% (8,000.00) Output tax (960.00) Net Amt 80,640.
Credit Cash in VAT VAT Accounts
- GJ 14 Accounts Payable 1, - Purchase Returns & Allowances - Input Tax
- CRJ 16 Cash 128, DM#3 Purchase returns - Sales 115, - Output Tax 13,
- CDJ 17 Purchases 130, Cash sales tp customers - Input Tax 15, - Cash 145, - 19 Cash 2, Cash purchases - Purchase Returns & Allowances 2,
- CRJ Input Tax
- CDJ 20 Jean, Withdrawals Cash refund for returns of goods - Cash 10,
- CDJ 20 Accounts Payable 134, - Purchase Discounts 12, - Input Tax 1,
- CRJ Cash 120,
- CDJ 21 Cash 80, Payment of account within the discount period - Sales Discounts 8, - Output Tax
- CDJ Accounts Receivable 89, - 24 VAT Payable 21, Collection within the discount period - Withholding Tax Payable 2, - Cash 23, - 27 Utilities Expense 1, CDJ Remittances to BIR - Cash 1, - Utilities Expense 1, Remitance to CENECO - Cash 1, - Utilities Expense 2, Remittance to BACIWA - Cash 2,
- Jan 3 City Govt. Treasurer Payment of business permit and license Payee Explanation Voucher Check # - 9 MV Sweet Joy Payment of freights and handling
- 10 Social Security System Payment of remittance to SSS
- 10 Philhealth Payment of remittance to Philhealth
- 10 Home Devt. Payment of remittance to Pag-ibig
- 10 Bureau of Internal Revenue Payment of remittance to BIR
- 17 Tonton Superstore Purchase merchandise
- 17 James Merchandising Purchase merchandise
- 20 Jean B. Withdrawals
- 20 Sita Company Payment of account within the discount period
- 24 Bureau of Internal Revenue Payment of remittances
- 27 CENECO Payment of remittance to CENECO
- 27 BACIWA Payment of remittance to BACIWA
- 27 PLDT Payment of remittance to PLDT
- 30 Cashier/payroll master Payment of payroll for Jan
- 14,850 14, Bank Purchase Discounts Input Tax Purchases Input tax Payable Taxes & Licenses
- 100,800 90,000 10,
- 120,960 12,000 1,440 134,
- 358,085 12,000 1,440 130,000 15,600 134,400 14, - 376,242 376,
Debit Freight Out Freight In (^) SSS Premium Payable Philhealth Prem Payable Pag-ibig Prem Payable Withholding Tax Payable 2,450 1, 3, 900 1, 2, 2, 2,450 1,000 3,242 900 1,000 5,
Credit 2, 1, 450 500 (500) 4,
NEW JEANJOY ENTERPRISE
GENERAL JOURNAL
DATE ACCOUNT TITLE
Jan 3 Taxes & Licenses
Cash
Payment of permit
6 Purchases
Input Tax
Accounts Payable
Purchases on account
8 Accounts Receivable
Sales
Output Tax
Sales on account
9 Freight Out/Transportation Out
Freight In/Transportation In
Cash
Payment of delivery charges
10 SSS Premium Payable
Cash
Remittance to SSS
10 Philhealth Prem Payable
Cash
Remittance to Pag-ibig premium
10 Pag-ibig Prem Payable
Cash
Remittance to Pag-ibig premium
10 Withholding Tax Payable
Cash
Remittance to BIR
12 Sales Returns & Allowances
Output Tax
Accounts Receivable
CM#5 Sales returns
14 Accounts Payable
Purchase Returns & Allowances
Input Tax
DM#3 Purchase returns
Pag-ibig Prem Payable
Cash in Bank
Payment of payroll
NEW JEANJOY ENTERPRISE
GENERAL JOURNAL
January 31, 2023
PR DEBIT CREDIT
