GUIDELINES IN INPUTTING ANSWERS IN CANVAS: 1. In preparing your journaladjusting entries, use the following chart of accounts and choose the corresponding letter in making your entries: Letter Account Title Letter Account Title A Cash J Notes Payable - Bank B Accounts Receivable Sales c Accounts Receivable - Assigned L Sales Return and Allowances D Allowance for Doubtful Accounts M Sales Discount E Notes Receivable N Interest Income F Unearned Interest Income O Doubtful Accounts Expense G Notes Receivable - Discounted Service Charge H Receivable from Factor Q Interest Expense 1 Interest Receivable R Gain on Discounting s Loss on Discounting 2. If the entry is a compound entry or has multiple debits or credits, the line items must be arranged in the order shown in the chart of accounts. 3. In order to achieve uniformity in our answers, use the whole continuous present value (PV) factor However, all computations shall be rounded off to the nearest peso. 4. Do not put any decimal places in your answers. If the answer is 123,456, inputting 123,456.0 or 123.456.00 will be considered incorrect 5. It is suggested to input your answers using uppercase letters, but Canvas is not case-sensitive (This is a recent discovery). So if the correct answer is CASH, inputting Cash cash or even cAsH will not invalidate your answer 6. Canvas ignores any extra spaces at the start or at the end of an answer, but will not ignore extra spaces in the middle of an answer. To address this and avoid issues on unnoticed extra spaces, use the following format in inputting your answers: DR.AccountLetter Amount.CR.AccountLetter.Amount If the correct answer is Cash 2,000 Accounts Receivable 2,000 You should be inputting: DR.A.2,000.CR.B.2,000 If the correct answer is Cash 56.000 Notes Receivable 50,000 Interest Income 6,000 You should be inputting, DR.A.56,000.CR.E.50,000.CR.N.6,000 Note: If you are having some difficulty in applying this format, you can see the Tips and Tricks in Applying the Format file uploaded PROBLEMA On December 31, 2014. the following balances were obtained from the balance sheet of Pokrat Co. Accounts Receivable P 450,000 Allowance for Doubtful Accounts 22,500 Transactions during 2015 1. Sales on account 2/10, 1/60 P5 200,000 2. Collections net of 2% discount 4,116,000 3. Accounts assigned on a notification basis 400,000 -Terms. Cash advance of 80% less a 3% service charge on the gross accounts assigned. An interest of 18% per annum is to be paid on the unpaid balance at the end of each month. On December 31, 2015, after one month from the assignment. Poknat received information from the bank that P200,000 of the assigned accounts were collected less a 2% discount 4. Accounts factored on December 15, 2015 200,000 Terms: Poknat received 80% of the factored accounts, less 2% discount and 5% commission. The sales discount is not subject to reduction for returns or writeoffs 5. Sales returns (including P10.000 from assigned accounts) P 120,000 6. Accounts written off (including P20,000 from factored accounts) 50,000 REQUIRED: A1. Give the journal adjusting entry to record sales on account, P5,200,000 A2. Give the journal/adjusting entry to record collection (net of 2% discount), P4,116,000 A3. Give the journal adjusting entry to record assignment of accounts receivable, P400.000, A4. Give the joumaladjusting entry to record notes payable-bank AS. Give the journaladjusting entry to record collection by the bank of P200,000 assigned accounts less 2% discount A6. Give the journaladjusting entry to record accounts receivable factored. A7. Give the journal adjusting entry to record sales retums A8. Give the journal adjusting entry to record accounts written off A9. Give the joumaladjusting entry to record doubtful accounts expense. The company uses percentage of accounts receivable. GUIDELINES IN INPUTTING ANSWERS IN CANVAS: 1. In preparing your journaladjusting entries, use the following chart of accounts and choose the corresponding letter in making your entries: Letter Account Title Letter Account Title A Cash J Notes Payable - Bank B Accounts Receivable Sales c Accounts Receivable - Assigned L Sales Return and Allowances D Allowance for Doubtful Accounts M Sales Discount E Notes Receivable N Interest Income F Unearned Interest Income O Doubtful Accounts Expense G Notes Receivable - Discounted Service Charge H Receivable from Factor Q Interest Expense 1 Interest Receivable R Gain on Discounting s Loss on Discounting 2. If the entry is a compound entry or has multiple debits or credits, the line items must be arranged in the order shown in the chart of accounts. 3. In order to achieve uniformity in our answers, use the whole continuous present value (PV) factor However, all computations shall be rounded off to the nearest peso. 4. Do not put any decimal places in your answers. If the answer is 123,456, inputting 123,456.0 or 123.456.00 will be considered incorrect 5. It is suggested to input your answers using uppercase letters, but Canvas is not case-sensitive (This is a recent discovery). So if the correct answer is CASH, inputting Cash cash or even cAsH will not invalidate your answer 6. Canvas ignores any extra spaces at the start or at the end of an answer, but will not ignore extra spaces in the middle of an answer. To address this and avoid issues on unnoticed extra spaces, use the following format in inputting your answers: DR.AccountLetter Amount.CR.AccountLetter.Amount If the correct answer is Cash 2,000 Accounts Receivable 2,000 You should be inputting: DR.A.2,000.CR.B.2,000 If the correct answer is Cash 56.000 Notes Receivable 50,000 Interest Income 6,000 You should be inputting, DR.A.56,000.CR.E.50,000.CR.N.6,000 Note: If you are having some difficulty in applying this format, you can see the Tips and Tricks in Applying the Format file uploaded PROBLEMA On December 31, 2014. the following balances were obtained from the balance sheet of Pokrat Co. Accounts Receivable P 450,000 Allowance for Doubtful Accounts 22,500 Transactions during 2015 1. Sales on account 2/10, 1/60 P5 200,000 2. Collections net of 2% discount 4,116,000 3. Accounts assigned on a notification basis 400,000 -Terms. Cash advance of 80% less a 3% service charge on the gross accounts assigned. An interest of 18% per annum is to be paid on the unpaid balance at the end of each month. On December 31, 2015, after one month from the assignment. Poknat received information from the bank that P200,000 of the assigned accounts were collected less a 2% discount 4. Accounts factored on December 15, 2015 200,000 Terms: Poknat received 80% of the factored accounts, less 2% discount and 5% commission. The sales discount is not subject to reduction for returns or writeoffs 5. Sales returns (including P10.000 from assigned accounts) P 120,000 6. Accounts written off (including P20,000 from factored accounts) 50,000 REQUIRED: A1. Give the journal adjusting entry to record sales on account, P5,200,000 A2. Give the journal/adjusting entry to record collection (net of 2% discount), P4,116,000 A3. Give the journal adjusting entry to record assignment of accounts receivable, P400.000, A4. Give the joumaladjusting entry to record notes payable-bank AS. Give the journaladjusting entry to record collection by the bank of P200,000 assigned accounts less 2% discount A6. Give the journaladjusting entry to record accounts receivable factored. A7. Give the journal adjusting entry to record sales retums A8. Give the journal adjusting entry to record accounts written off A9. Give the joumaladjusting entry to record doubtful accounts expense. The company uses percentage of accounts receivable