ABC Corp. transactions from September 1-30, 2010

Sept 1 DEF, owner of ABC Corp. established the business when it acquired worth 250,000 cash

Sept 1 Paid business licenses worth 10,000

Sept 1 Paid insurance worth 20,000 covering 3 year period

Sept 2 Paid rent office rent for 1 year worth 40,000

Sept 2 Purchased office equipment for 80,000, salvage value of 5,000; paid 50,000 cash and the balance on account.

Sept 2 Hired secretary for business with salary of 8,000

Sept 5 Billed customers worth 30,000 for educational services

Sept 6 Received cash of 20,000 in advance for services to be performed over 24 months

Sept 7 Purchased supplies worth 9,000 on account

Sept 12 Collected cash worth 10,000 from customers billed on Sept 5

Sept 15 Paid secretary's salary worth 8,000

Sept 18 Paid 5,000 for gas and oil

Sept 20 Paid 5,000 on purchased of supplies last Sept 7

Sept 25 Accepted new contract and finished on time; received cash worth 50,000

Sept 28 Paid salary worth 8,000

Sept 29 Performed services worth 5,000 to customer last Sept 6

Sept 30 DEF withdrew cash of 12,000

1. Prepare the chart of accounts for ABC Inc.
2. Journalize and post for Sept. 2010 transactions.
3. Prepare trial balance for Sept. 30, 2010.
4. Enter the following adjustments on the worksheet and complete the working papers on the balance sheet date (Dec. 31, 2010)
5. a. Insurance policy is effective Sept. 1, 2010
6. b. Rent expense as of Dec. 31, 2010
7. c The estimated life of office equipment is 5 years with 5,000 salvage value.
8. d. The unused supplies at Dec. 31, 2020 is Php3,000
9. Prepare an adjusted trial balance as of Dec. 31, 2010
10. Prepare complete worksheet
11. Prepare a statement of comprehensive income, statement of changes in equity, and statement of financial position.