Presented below is the trial balance of A Corporation as of June 30, 2019:

Account Titles Debit Credit

Cash 116,760

Accounts Receivable 318,000

Allowance for Doubtful Accounts 15,792

Inventories 268,800

Prepaid Expenses 21,600

Furniture and Fixtures 291,600

Accumulated Depreciation 97,200

Accounts Payable 151,800

Notes Payable 24,000

Accrued Expenses 1,200

Share Capital, P100 par value 5,000 shares issued and outstanding 600,000

Subscribed Share Capital 120,000

Subscription Receivable 72,000

Share Premium 12,000

Retained Earnings 66,768

Totals 1,088,760 1,088,760

The following are the summary of transactions for the quarter ended September 30, 2019:

1.Collected the entire receivable on subscribed share capital on August 18, 2019 and the corresponding share certificates were issued on the same day.

2.Purchases of inventory amounted to 993,000. The entity uses the perpetual inventory system in recording inventory transactions.

3.Sales on account during the quarter amounted to 1,547,520, while cost of sales was 1,063,080.

4.Collections from customers amounted to 1,584,000 after deducting discounts of 14,520.

5.Payment to trade creditors amounted to 973,320 after deducting discounts of 11,048.

6.Payment for operating expenses amounted to 254,040.

7.Fifteen percent (15%) cash dividend was declared on September 15, 2019.

Other data for adjustments gathered as of September 30, 2019 are as follows:

1.Annual depreciation rate of fixed assets is at 12%.

2.Provision for uncollectible accounts is at 25% of net sales.

3.Ending balance of accrued expenses amounted to 4,200.

4.Ending balance of prepaid expenses amounted to 10,440.

5.The note has a nominal rate of 12% which has been outstanding since July 1, 2019

Prepare the following:

1.Journal entries for the 3rd quarter.

2.Income Statement for the Quarter Ended September 30, 2019.

3.Statement of Financial Position as of September 30, 2019.