Accounting for Government and Nonprofit Org.

On March 1, the Bureau of Treasury received credit advice amounting to $500,000 from the Bangko Sentral ng Pilipinas for loan received from World Bank for the housing project in Agusan Del Norte which was highly affected by Typhoon Andoy. The loan is payable within 30 years. Exchange rate at the transaction date is P51.40: $1. What is the entry to recognize the loan received from World Bank? 3. Cash in Bank-Foreign Currency, Bangko Sentral ng Pilipinas 25,700,000 Loans Payable-Foreign 25,700,000 b. Subsidy to National Government 25,700,000 Cash in Bank-Foreign Currency, Savings Account 25,700,000 C. Subsidy to National Government 25,700,000 Cash in Bank-Foreign Currency, Bangko Sentral ng Pilipinas 25,700,000 d. Cash in Bank-Foreign Currency, Savings Account 25,700,000 Loans Payable-Foreign 25,700,000 2. The National Government received a foreign grant amounting to P50,000,000 from Japanese Government for the construction of a public school in Saranggani Province. Under the terms of the grant, the money can only be used as stipulated and the money shall be returned to the grantor if the construction project is not completed within a period of 18 months from the receipt of the grant. What is the journal entry to record the receipt of grant in the books of the /unseal jo nezJing a. Cash-Collecting Officer 50,000,000 Income from Grants and Donations 50,000,000 b. Loans Payable 50,000,000 Cash in Bank, Foreign Currency Savings Deposit 50,000,000 C. Cash in Bank, Foreign Currency Savings Deposit 50,000,000 Income from Grants and Donations 50,000,000 No entry, Posting to appropriate Registry of Allotments, Obligations and Disbursements [RAOD)3. Jocelyn Santiago is the Petty Cash Custodian of National Archives of the Philippines since 1998. She will retire on July 31, 2020 on her position due to lingering ailment. The established petty cash fund is P30,000 with a total expense paid and liquidated amounting to P24, 800. What is the entry to record the return of unused Petty Cash Fund upon the retirement of the Petty Cash Custodian? a. Cash Collecting officer 5,200 Cash-Modified Disbursement System, Regular 5,200 b. Cash-Modified Disbursement System, Regular 5 200 Petty Cash Fund 5,200 C. Cash Collecting officer 5,200 Petty Cash Fund 5,200 d. Expenses 24 800 Cash-MIDS, Regular 5,200 Petty Cash Fund 30,000 4. The Land Transportation Office's taxes withheld through Tax Remittance Advice amounted to P1,200,000. What is the entry on the books of Bureau of Internal Revenue to recognize constructive receipt of tax revenue based on the TRA received from the agency? Due to BIR 1,200,000 Income Tax 1,200,000 b. Due to BIR 1,200,000 Cash-Tax Remittance Advice 1,200,000 C. Cash-Tax Remittance Advice 1,200,000 Subsidy from National Government 1,200,000 d. Cash-Tax Remittance Advice 1,200,000 Income Tax 1,200,0005. MGC Builders Inc. constructed a two-story building in Calloocan for Local Water Utilities Administration which will serve as the agency's storage area with a total cost of P580,000 consisting of construction materials (inclusive of VAT), labor costs and various overhead expenses amounting to P380,000, P170,000, and P80,000, respectively. What is the entry to recognize investment property upon completion of construction? Investment Property, Buildings 580,000 Subsidy from National Government 580,000 b. Investment Property, Buildings 580,000 Construction in Progress- Investment Property, Building 580,000 C. Investment Property, Buildings 580,000 Cash-Modified Disbursement System, Regular 580,000 d. No entry, Posting to appropriate Registry 5. On October 1, 2020, the Land Transportation Office - Central Office transferred to a Regional Office (RO) an office equipment which was purchased by the agency last January 1, 2020. The equipment's acquisition cost is P90,000 and its accumulated depreciation is P20,000. What is the entry to recognize the transfer of office equipment in the books of the Central Office? 3. Office Equipment 90,000 Accumulated Depreciation - Office Equipment 20,000 Office Equipment 70,000 b. Subsidy to Regional Offices/Staff Bureaus 90,000 Office Equipment 90,000 C. Subsidy to Regional Offices/Staff Bureaus 70,000 Office Equipment 70,000 d. Subsidy to Regional Offices/Staff Bureaus 70,000 Accumulated Depreciation - Office Equipment 20,000 Office Equipment 90,D007. Cooperative Development Authority purchased a land with a cash price of P3,600,000. It is agreed that the agency shall pay 350% down payment and the balance is payable in 8 equal annual installments at 6%% interest per year. The land was bought for capital appreciation only. What is the entry to recognize payment of first annual installment? Ignore tax implication. 3. Investment Property, Land 292,500 Cash-Modified Disbursement System, Regular 292 500 b. Accounts Payable 292,500 Cash-Modified Disbursement System, Regular 292,500 C. Accounts Payable 274,950 Interest Expenses 17,550 Cash-Modified Disbursement System, Regular 292,500 d. Accounts Payable 292,500 Interest Expenses 17,550 Cash-Modified Disbursement System, Regular 310,050 8. NS Constructions Inc. constructed a building intended a safe house for crime witnesses. The Contract Price of the project is PS,400,000, inclusive of VAT, payable in two progress billings. The agreement states the following- i. An advance payment to the Contractor shall be given amounting to P1,200,000 ii. The contract is payable in two progress billings. ii. Retention fee is 101% of the progress billing What is the journal entry to record the payment of first progress billing? Ignore tax implications. Accounts Payable 4,200,000 Cash-Modified Disbursement System, Regular 4,200,000 b. Accounts Payable 3,000,000 Guarantee Deposit 210,00D Cash-Modified Disbursement System, Regular 2,780,000 C. Accounts Payable 3,000,000 Cash-Modified Disbursement System, Regular 3,000,000 d. Accounts Payable 3,210,000 Guarantee Deposit 210,000 Cash-Modified Disbursement System, Regular 3,000,0009. David Cruz - Collecting Officer of the Bureau of Immigration collected the following tax: Immigration tax P210,000 Travel tax P120,000 On February 1, the collection was directly remitted by the agency thru Authorized Agent Banks. What is the journal entry to record collection/remittance of income to BTr through Authorized Agent Banks? a. Cash-Treasury/Agency Deposit, Regular 330,000 Cash-Collecting Officers 330,000 b. Cash-Treasury/Agency Deposit, Regular 330,000 Immigration tax 210,DDD 120,000 C. Cash-Collecting Officers 330,000 Cash-Treasury/Agency Deposit, Regular 330,000 d. Cash-Collecting Officers 380,000 Immigration tax 210,000 Travel tax 120,000 10. Department of Human Settlements and Urban Development received an unconditional donation of a piece of land with a fair value of P10,000,000. What is the journal entry to recognize the receipt of donated land? 3. Investment Property, Land 10,000,000 Income from Grants and Donation in Kind 10,000,000 b. Land 10,000,000 Income from Grants and Donation in Kind 10,000,000 C. Merchandise Inventory - Land/ Reclaimed Land 10,000,000 Contribution Revenue 10,000,000 d. Land 10,000,000 Contribution Revenue 10,000,000