Question
PART I. JOURNALIZING, POSTING AND PREPARATION OF TRIAL BALANCE Mr. Antonio De Jesus opened his De Jesus Trading Merchants on December 2018. The following transactions
PART I. JOURNALIZING, POSTING AND PREPARATION OF TRIAL BALANCE Mr. Antonio De Jesus opened his De Jesus Trading Merchants on December 2018. The following transactions occurred for the month. Dec 01 Mr. De Jesus initially invested cash 150,000 and Merchandise Inventory 50,000. Paid rental for the store in 5 months advance 50,000 Dec 02 Purchased equipment worth 50,000 for cash. Dec 03 Purchased merchandise from Mr. Cruz worth 40,000 on account, terms 2/10, n/30. FOB Shipping Point, Freight Prepaid 500. Dec 04 Purchased supplies for cash amounting to 15,000. Dec 05 Sold merchandise to Mr. Hulgado for cash 50,000. Dec 08 Received credit memo from Mr. Cruz 1,500 due to merchandise defect. Dec 10 Sold merchandise on account to Mr. Corpuz 60,000 terms 1/15 n/30. FOB Shipping Point, Freight Collect 200. Dec 13 Settled the account purchased on Dec 3. Dec 15 Borrowed from the bank with 1-year term 100,000. Dec 17 Refunded amount to merchandise sold for cash due to defect 1,500. Dec 20 Purchased merchandise from Mrs. Beltran on account P50,000, terms 2/10, n/60. FOB Destination, Freight Collect 600. Dec 23 Received payment from Mr. Corpuz in full Dec 25 Bought insurance policy for 1 year amounting to 10,000. Dec 26 Withdrew cash for personal use, 10,000. Dec 27 Issued note in lieu of the loan obtained from the bank Dec 28 Sold merchandise on account to Mrs. Abad 25,000 terms 2/10, n/30. FOB Destination, Freight Collect 500. Dec 30 Paid utilities for the month 3,000
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