Financial Feasibility

Example $1$:

Mrs$.$ Villar deposited P$50$M into a bank account as seed capital for starting the business.

Mrs$.$ Villar bought a concrete mixer and other equipment for P$8$M$,$ paying P$5$M by cheque and receiving an interest$-$free loan from the supplier for the balance, to be repaid at a later date.

Mrs$.$ Villar paid P$3\mathrm{.}6$M for a rented building for the whole year, but the building was only occupied for three months.

Mrs$.$ Villar bought raw materials $($cement$,$ aggregates, and sand$)$ for P$10$M and paid only $50\%$ of the amount in cash.

Mrs$.$ Villar paid production equipment operators and supervisory staff a salary of P$3\mathrm{.}5$M but P$1\mathrm{.}2$M for a social security fund and other benefits for the employees was booked but not paid.

Mrs$.$ Villar settled the outstanding P$3$M for the concrete mixer loan taken in transaction #$2.$

Mrs$.$ Villar sold prefab products with a COGS value of P$12$M for P$17\mathrm{.}6$M$.$ The customer paid P$14$M for the products and was invoiced for the balance of P$3\mathrm{.}6$M$.$

Mrs$.$ Villar received an invoice of P$950$K for advertising expenses.

Based on the pre$-$tax income, Mrs$.$ Villar calculated a total of P$1\mathrm{.}3$M as tax payable to the revenue authority.

Mrs$.$ Villar issued a cheque for P$5$M to settle the outstanding amount for raw materials bought in transaction $4.$

Required:

a$.$ Prepare a balance sheet