continue with the requirements in splitting of mixed acoounts

a. income method

b. provide the adjusting entries on december 31,2001 under each of the methods listed above.

ng of ncial count it of ad (or advertising e the 20x1. collections of items of income PROBLEM 2: FOR CLASSROOM DISCUSSION Accruals, depreciation and bad debts Ilse the following information for the next four questions: Entity A is preparing its December 31, 20x1 financial statements. Provide the year-end adjusting entries for the following 1. Entity A entered into a 1-year contract for a billboard months of May 1, 20x1 to April 30, 20x2. a. Provide the journal entry to record the collection on 1, 20x1 under each of the following methods: ding of advanced on August 1, 20x1. The monthly rent for the billboard is P200,000, payable at the start of each month. Entity A has paid the rentals for the months of August to November ent is 2. Entity A received a 10%, P180,000, one-year, note receivable rent from a customer on October 31, 20x1. Both the principal and interest on the note are due on November 1, 20x2. your 3. Entity A acquired a machine on November 30, 20x1 for your +420,000. The machine has an estimated useful life of 8 years. 4. Entity A has total accounts receivable of P890,000 as of December 31, 20x1. Of that amount, P45,000 were estimated to be doubtful of collection. Splitting of mixed accounts Requirements: i. anced initial ethod ald be On May 1, 20x1, Entity B received one-year advanced rent of P480,000 from one of its tenants. The advanced rent covers the year dit to 'asset May r-end to a used Liability method