Additional data needed for adjustments:

1. Increase the allowance for doubtful accounts to 5% of Accounts Receivable.

2. The notes received from the customers consists of: a) a 30-day, 9% note for P4,000 dated December 11, 2022 b) 60-day P800 note dated December 6, 2022 No interest has been collected on these notes.

3. The business has paid on January 1, 2022 store insurance premium of P6,300 for a two-year policy effective on that date.

4. It is company policy for all furniture & fixtures to be depreciated over a useful life of 5 years. Of those on hand and assigned to the store, P6,000 were acquired only on December 1, 2022. The remaining store furniture & fixture, as well as the office furniture & fixture will be depreciated according to normal company policy.

5. Sales salaries of P550 has accrued as of December 31.

6. On November 1, 2022, the business paid for a three-month rental locker contract for P900. The locker is used for storage of store inventory.

7. The notes payable represents a 60-day, 18% note dated December 11, 2022 for which no interest has yet been paid.

8. The business received commission P2,400 but only one-third of this has been earned by the company.

9. Merchandise unsold, per physical count of December 31, 2022, amounted to three-fourth of the beginning inventory.

10. Utilities of P5,250 for the month of December have not been recorded. This will be paid on January 15, 2023.

Please prepare a Trial Balance as well as the Adjusting Entries.

The unadjusted Trial Balance of ACCTBA Trading is presented below: ACCTBA Trading Unadjusted Trial Balance December 31, 2022