financial accounting

EXERCISES: PROBLEM 1: The following are the March 2017 transactions of CARRIEDO, distributor of pillow cases and comforters. March 8 Purchased Furniture & Fixtures from Liberty Homes at a purchase price of P 180,800 less 4% trade Discounts, terms 3/5, 2/10, and n/30. March 11 Paid P 1,670 for the delivery cost of the above purchase March 13 Sold Merchandise to LIBERTAD in the amount of P 20, 800 on account March 15 Purchased 10 comforters from EDSA invoiced at 19,800. Terms: 3/10, 2/20, n/30 March 17 Received payments from LIBERTAD 50% on her account. March 19 Paid salaries of staff, P 15,000 March 21 Sold to PUREZA on account, 5 Bed sheets @ 3,200 each set. March 22 CARRIEDO reported an item that is considered as defective. CARRIEDO returned 3 sets of Comforters. March 24 Paid EDSA 40% of his account March 26 Purchased P 12,600 worth of goods in cash. March 28 Withdrawal made by Carriedo, P 5,000 March 31 Paid Water P 1,200, Electricity P 2,900, Telephone P 800 and salaries for the 2-half Required: a.) Record the transactions in a two-column journal. b.) Use the following chart of accounts in the recording: 100 Cash 620 Sales Returns and Allowances 110 Accounts Receivable 700 Purchases 200 Furniture & Fixtures 710 Freight In 300 Accounts Payable 720 Purchase Discounts 500 CARRIEDO, Capital 730 Purchase Returns & Allowances 510 CARRIEDO, Withdrawal 800 Freight Out 600 Sales 810 Salaries Expense 610Sales Discount 820 Utilities Expense