ACTIVITY # 1

Pharsa Moontown formed the Mage Company on December 1, 2020.

Dec. 1

Deposited P1,500,000 to the business

Dec. 5

Acquired land in the amount of P700,000.

Dec. 15

Received cash amounting to P300,000 for services rendered.

Dec. 23

Acquired supplies on account amounting to P100,000.

Dec. 25

Withdrew P10,000 for personal use.

Dec. 31

Paid utilities expenses P125,000

Required:

Cash; Supplies; Land; Accounts Payable; Moontown, Capital; Moontown, Withdrawals; Service Fee; and Utilities Expense.

Using the account titles above, prepare the following:

1. Journal entries [2-column journal]

2. T accounts [yellow paper]

3. Trial balance [2-column journal]

4. Statement of Profit or Loss (unadjusted) [yellow paper]

5. Statement of Changes in Owner's Equity (unadjusted) [yellow paper]

6. Statement of Financial Position (unadjusted) [yellow paper]

ACTIVITY # 2

Nana Bangbang formed the Molina Company on November 1, 2020.

Nov. 1

Invested P500,000 to the business

Nov. 6

Rendered services to the customers, P200,000.

Nov. 16

Acquired tools on account, P50,000.

Nov. 24

Rendered services to clients, P50,000. The clients will pay next year.

Nov. 25

Paid salaries, P25,000.

Nov. 27

Paid utilities, P50,000

Nov. 30

Withdrew cash for personal use, P15,000.

Required:

Cash; Accounts Receivable; Tools; Accounts Payable; Bangbang, Capital; Bangbang, Withdrawals; Service Fee; Salaries Expense; and Utilities Expense

Using the account titles above, prepare the following:

1. Journal entries [2-column journal]

2. T accounts [yellow paper]

3. Trial balance [2-column journal]

4. Statement of Profit or Loss (unadjusted) [yellow paper]

5. Statement of Changes in Owner's Equity (unadjusted) [yellow paper]

6. Statement of Financial Position (unadjusted) [yellow paper]

ACTIVITY # 3

Nelson Daganta formed the Liceo Sign Company on Oct. 1, 2020. He deposited P250,000 in GE Money Bank under the name of the new business entity. During the month of October 2020, the following transactions occurred:

Oct. 2

Acquired a service vehicle in the amount of P195,000 on account.

Oct. 3

Acquired supplies for cash, P57,000.

Oct. 9

Received P87,500 cash for signs painted.

Oct. 10

Paid the month's rent, P25,000.

Oct. 11

Painted signs for Cagayan Company on account, P170,000.

Oct. 12

Paid P55,000 on account from Oct. 2.

Oct. 16

Withdrew P25,000 for personal use.

Oct. 23

Collected P35,000 from Cagayan Company.

Oct. 27

Paid salaries of P57,000 for the month.

Oct. 30

Paid BayanTel P7,500 for communication services for the month.

Oct. 31

Paid a bill from AdAsia for P5,500 of advertising for the month.

Required:

Cash; Accounts Receivable; Supplies; Service Vehicle; Accounts Payable; Daganta, Capital; Daganta, Withdrawals; Service Fee; Rent Expense; Salaries Expense; Communications Expense; and Advertising Expense.

Using the account titles above, prepare the following:

1. Journal entries [2-column journal]

2. T accounts [yellow paper]

3. Trial balance [2-column journal]

4. Statement of Profit or Loss (unadjusted) [yellow paper]

5. Statement of Changes in Owner's Equity (unadjusted) [yellow paper]

6. Statement of Financial Position (unadjusted) [yellow paper]