Harold King Trading Unadjusted Trial Balance December 31, 2020 Credit Debit 980,000 20,500 120,000 8,000 100,000 500,000 7,500 1,000,000 2,000,000 140,000 32,000.00 200,000 Account Titles Cash in Bank Cash on Hand Accounts Receivable Allowance for Bad Debts Notes Receivable Merchandise Inventory, Jan 1, 2020 Prepaid Interest Land Building Store Equipment Accumulated Depreciation, Store Equipment Office Furniture & Fixtures Accumulated Depreciation, Office Furniture & Fix. Accounts Payable VAT Payable Unearned Rent Revenue Notes Payable Loans Payable (2 year-loan dated December 1, 2020) King, Capital King, Personal Sales Sales Discount Sales Returns and Allowances Purchases Purchase Discounts Purchase Returns & Allowances Freight In Freight Out Sales Salaries Expense Office Salaries Expense Store Supplies Expense Office Supplies Expense Store Utilities Expense Office Utilities Expense Total 30,000 620,400 140,000 240,000 500,000 2,500,000 777,000 120,000 4,980,800 49,800 6,000 3,180,000 63,600 30,000 70,000 40,000 585,000 624,000 20,000 15,000 84,000 60,000 9,921,800 9,921,800 Additional information on 31 December 2020 a) Merchandise on hand on December 31, 2020 amounts to P855,000. b) Store Supplies and Office Supplies used during 2020 amounts to P18,000 and P12,000, respectively. c) Store Equipment were all acquired last yeat and is estimated to be usefull for 7 years with estimated salvage value of 20% of the cost. d) Office Furniture has an estimated useful life of 10 years with salvage value of 25% of cost. The building was constructed last year and the business started occupying it on January 1 this year. e) The store occupies 60% of the space, the rest are offices. It will be used for 25 years with estimated salvage value of P50,000. The business lease out a small portion of the land for P20,000 per month, paid in advance for 12 f) months, starting March 1, 2020. g) Acrrued salaries on December 31, 2020: Sales Slaries, P3,750 and Office Salaries, P4,000. h) The Loan Payable is a 2-year promissory note dated 01 December 2020 with 6% interest payble when the principal is due. i) The Notes Paybale is a 90-day note discounted on 16 November 2020 at Union Bank at 6%. j) A customer's note for P100,000 was received in settlement of an account on 16 December 2020. This note is a 60-day, 6% note Allowance for Bad Debts should 10% of Accounts Receivable. Bad Debts is treated as administrative k) expense. Required: 1) Ten-Column Worksheet 2) Financial Statements: a) Muliti-step Income Statement b) Statement of Owners' Equity c) Classified Statement of Financial Position, Report Form 3) Adjusting and Closing Entries 4) Post-closing Tial Balance 5) Reversing Entries