Leopoldo Medina Nursing Home

Balance Sheet

Dec. 31, 2014

ASSETS

Current Assets

Cash

P16,000

Accounts Receivable

165,000

Supplies

21,000

P 202,000

Non-current Assets

Land

90,000

Nursing Home

350,000

Nursing Equipment

160,000

600,000

Total Assets

P 802,000

LIABILITIES AND OWNER'S EQUITY

Liabilities

Accounts Payable

47,000

Notes Payable

350,000

Total Liabilities

397,000

Owner's Equity

Medina, Capital

405,000

Total Liabilities and Owner's Equity

P 802,000

During the month of January 2015, the following transactions tool place:

Jan.

2 Acquired supplies on account,

P17,500.

6 Collected P82,000 from patients for services provided in 2014.

10

Acquired nursing equipment on account, P35,000.

11

Billed patients

P167,000 for

nursing fees.

12

Paid P31,000 on

accounts payable.

17

Paid nursing salaries, P24,000.

20

Paid utilities expense, P 9,000.

25

Medina withdrew

P10,000 from

the business.

27

Received a bill

from the Ryan Morales Ad Company for P12,500 for

advertising expense incurred

during the month.

31

Paid P15,000 of

the notes payable.

Required: (1) Enter the Dec. 31, 2014 balances in a financial transaction worksheet. (2) Record the transactions for the month of January 2010. (3) Determine the balances of accounts using T-account.