1 The account balances for ABC merchandising company at the end of fiscal year June 30, 200x can be summarized as follows 214,500 842,200 Sales Sales Returns 4,320,082 206,000 Accounts payable Accounts receivable Accumulated Depreciation Equipment Capital Cash Equipment Merchandise Inventory Prepaid Insurance Retained earnings Salaries Payable Store supplies (12 600) 2,500,000 641,600 1,043,000 1,339,900 37 500 1,202,600 none 25,500 COGS Tax Expense Sales salaries expense Advertising exp Depreciation expense Store supplies expense Miscellaneous office expense Office salaries exp Rent expense 2 304,082 78,820 744,000 18,000 8400 54,500 405,000 186,000 The following transactions occurred for the first month of the fiscal year July, 200x July 1 Paid rent for July P16,000 3 Purchased merchandise on account from Biento Company worth P150,000 4 Paid transportation charges on the purchase of July 3, P4,000 10 Sold merchandise for cash P183,000 The cost of merchandise sold was P110,000 14 Received merchandise returned on sale of August 10, P15,000 The cost of merchandise returned was P9,000 15 Paid advertising for the last half of July, P15,000 19 Paid P61,000 to Ramler Co on account 30 Sold merchandise on account to Westingwell Co P187,500 Cost of merchandise sold was P112,500 30 Paid salesmen salaries P45,000 31 Office personnel salaries to be paid out by August 1 (July 31 was a Sunday) P16,000 31 Store supplies used was determined to total P8,000 31 Depreciation of equipment amounts to P4,200 per month 31 Insurance expense was originally P75,000 paid on January 1 and covers the whole year until December P37,500 account balance refers to the remaining value for July to Dec 31 Tax rate applicable for the company 20 which will not be paid yet by the company Requirements Record the effects of the events above to Income Statement or Balance Sheet accounts Indicate whether the effect of each would be positive ( ) or negative ( ) Give the income statement and Balance sheet of ABC Company as of July 31, 200x

Question

1  The account balances for ABC merchandising company at the end of fiscal year June 30, 200x can be summarized as follows  214,500 842,200 Sales Sales Returns 4,320,082 206,000 Accounts payable Accounts receivable Accumulated Depreciation  Equipment Capital Cash Equipment Merchandise Inventory Prepaid Insurance Retained earnings Salaries Payable Store supplies (12 600) 2,500,000 641,600 1,043,000 1,339,900 37 500 1,202,600 none      25,500 COGS Tax Expense Sales salaries expense Advertising exp Depreciation expense Store supplies expense Miscellaneous office expense Office salaries exp Rent expense 2 304,082 78,820 744,000 18,000 8400 54,500 405,000 186,000 The following transactions occurred for the first month of the fiscal year July, 200x July 1  Paid rent for July P16,000  3  Purchased merchandise on account from Biento Company worth P150,000  4  Paid transportation charges on the purchase of July 3, P4,000  10  Sold merchandise for cash P183,000  The cost of merchandise sold was P110,000  14  Received merchandise returned on sale of August 10, P15,000  The cost of merchandise returned was P9,000  15  Paid advertising for the last half of July, P15,000 19  Paid P61,000 to Ramler Co  on account  30  Sold merchandise on account to Westingwell Co  P187,500  Cost of merchandise sold was P112,500  30  Paid salesmen salaries  P45,000  31  Office personnel salaries to be paid out by August 1 (July 31 was a Sunday)  P16,000 31  Store supplies used was determined to total P8,000  31  Depreciation of equipment amounts to P4,200 per month 31  Insurance expense was originally P75,000 paid on January 1 and covers the whole year until December  P37,500 account balance refers to the remaining value for July to Dec  31  Tax rate applicable for the company  20  which will not be paid yet by the company Requirements  Record the effects of the events above to Income Statement or Balance Sheet accounts  Indicate whether the effect of each would be positive ( ) or negative ( )  Give the income statement and Balance sheet of ABC Company as of July 31, 200x

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1. The account balances for ABC merchandising company at the end of fiscal year June 30, 200x can be summarized as follows: 214,500 842,200 Sales

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