Question
1) Calex Building acquires a building on April 1, 2021 at a cost of P21,500,000. The building has an estimated useful life of 40 years
1) Calex Building acquires a building on April 1, 2021 at a cost of P21,500,000. The building has an estimated useful life of 40 years and an estimated salvage value of P500,000. How much is the depreciation expense for the year ended December 31, 2021?
2) ABC Company earns revenue from rendering advertising services to various clients. ABC Company received P80,000 for advertising services to be provided to clients and this was credited to a liability account. At year end, 20% of advertising services has been provided. How much is the advertising revenue for the year ended December 31, 2021?
3) On January 1, 2021, the balance of Owner's Capital of ABC Company is P430,000. During the year the company has Sales of P500,000 with P350,000 as cost of sales and expenses resulting to net income of P150,000. Also, during the year, the owner made additional investment of P400,000 and withdrew P180,000. How much is the Owners Capital on December 31, 2021?
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