PLEASE ANSWER QUESTION NUMBER 6 & 7 ONLY (REFER TO INSTRUCTIONS ABOVE)

Erik Torsten Hardwares Erik Torsten Hardwares distributes various hardware supplies to repair shops, service centers, and interested individuals. The business is owned and managed by Erik Torsten who started the business on July 1, 2022. Erik Torsten Hardwares has a monthly accounting period. The company uses a general journal to record all its transactions. The business also maintains a general ledger for posting and for determining monthly account balances. The Chart of Accounts is shown below. ERIK TORSTEN HARDWARES functional form Statement of Profit or Loss and its notes. STRUCTIONS: (1) Complete the adjustments section of the worksheet [WS]. Use the following information. (a) On November 1, the company paid P90,000 for a 6-month insurance contract with Assurance Guaranteed. (b) On November 21 , the company issued a 90-day 6% note for money borrowed from Al Loan amounting to P150,000. (c) On November 22, Aim High Trading contracted the company to deliver specialized hardware. The company received P53,600 in advance from Aim High Trading. P23,600 worth of parts have been delivered by month-end. (d) On November 30 , the company has earned commissions of P8,000 from Steadfast Faith Company for goods sold on consigment basis. This remains to be uncollected at monthend. (e) On November 30 , the company received its utilities bill for the month of November amounting to P23,000. This remains to be unpaid at month-end. (f) On November 30, Store Supplies costing P5,000 were on hand. (g) The company purchased the equipment on July 1,2022. The equipment was estimated to have a useful life of five years and a residual value of 10% of cost. (h) The company purchased the furniture on July 1, 2022. The furniture was estimated to have a useful life of four years with no residual value. (i) The allowance for doubtful accounts is estimated at 3% of accounts receivable. (j) Based on a physical count, ending inventory was determined to be P130,000. (6) Journalize and post the adjusting entries on November 30,2022 using the general journal and the general ledger [GJ and GL]. Use a standard format general ledger. (7) Journalize and post the closing entries on November 30, 2022 using the general journal and the general ledger [GJ and GL]. Erik Torsten Hardwares Erik Torsten Hardwares distributes various hardware supplies to repair shops, service centers, and interested individuals. The business is owned and managed by Erik Torsten who started the business on July 1, 2022. Erik Torsten Hardwares has a monthly accounting period. The company uses a general journal to record all its transactions. The business also maintains a general ledger for posting and for determining monthly account balances. The Chart of Accounts is shown below. ERIK TORSTEN HARDWARES functional form Statement of Profit or Loss and its notes. STRUCTIONS: (1) Complete the adjustments section of the worksheet [WS]. Use the following information. (a) On November 1, the company paid P90,000 for a 6-month insurance contract with Assurance Guaranteed. (b) On November 21 , the company issued a 90-day 6% note for money borrowed from Al Loan amounting to P150,000. (c) On November 22, Aim High Trading contracted the company to deliver specialized hardware. The company received P53,600 in advance from Aim High Trading. P23,600 worth of parts have been delivered by month-end. (d) On November 30 , the company has earned commissions of P8,000 from Steadfast Faith Company for goods sold on consigment basis. This remains to be uncollected at monthend. (e) On November 30 , the company received its utilities bill for the month of November amounting to P23,000. This remains to be unpaid at month-end. (f) On November 30, Store Supplies costing P5,000 were on hand. (g) The company purchased the equipment on July 1,2022. The equipment was estimated to have a useful life of five years and a residual value of 10% of cost. (h) The company purchased the furniture on July 1, 2022. The furniture was estimated to have a useful life of four years with no residual value. (i) The allowance for doubtful accounts is estimated at 3% of accounts receivable. (j) Based on a physical count, ending inventory was determined to be P130,000. (6) Journalize and post the adjusting entries on November 30,2022 using the general journal and the general ledger [GJ and GL]. Use a standard format general ledger. (7) Journalize and post the closing entries on November 30, 2022 using the general journal and the general ledger [GJ and GL]