Example: Owner invested P5,000,000 cash in a new business. a. Acquired for P4,000,000 cash a commercial area to be used as business space. b. Received P100,000 for services still to be rendered next month. c. Paid P7,500 to an advertising agency for a newspaper ad. d. Purchased P30,000 of supplies inventory on account. e. Paid P12,000 to the supplier for inventory purchased in (d) and gave a note for the remaining P18,000. f. Loaned P35,000 to the owner and accepted his 45-day note. g. Bought P5,000 of supplies for cash. h. The entity agreed to buy two service vehicles six months from now for P600,000.