Shinee Company operates in the production of Filipiniana attire. Transactions occurred during the month of August 2018 were as follows: 1. Materials Purchases on account, P180,000 2. Return of purchased materials, P30,000 3. Materials Issued to production: Direct- P90,000 Indirect-P30,000 4. Payroll: Direct Labor-P75,000; Indirect Labor-P30,000; Sales Salaries-P7,600; Office Salaries-P4,500 With Deduction as follows: Withholding taxes SSS Premiums Philhealth Contributions Pag-ibig funds 5. Employee Payroll tax Expense is as follows: P375 P780 P300 P150 SSS premium Philhealth Pag-ibig Factory 750 450 400 Selling Admin 480 120 270 270 180 105 6. Accrued payroll including beginning were paid, P67,500 7. Depreciation of building, P60,000 Factory: 50% Store: 30% Office: 20% 8. Depreciation: Factory Machinery & Equipment- P30,000 Store Equipment- P7,500 Office Furniture and Fixtures- P3,000 9. Other Factory Overhead Costs Incurred- P7,500 10. Selling Expenses incurred- P3,000; General and Admin. Expense incurred- P4,500 11. Factory overhead charged to production: 160% of DL cost 12. Cost of Goods Manufactured/Completed units: P225,000 consisting 10,000 units. 13. Sold 3,000 units @40% mark-up based on cost 14. Cost of goods sold 60,000 @40% gross profit based on sales. 15. Sales, P52,000 @30% mark-up based on cost 16. Sales, P60,000@30% Gross Profit based on sales 17. Sales return, P6,000 on item # 14 18. Cost of goods returned P5,000 on item #15 19. Collection of customers account, P300,000 20. Payment of account to suppliers, P120,000 Balance Sheet Beginning balances are as follows: ALL AMOUNTS ARE IN THEIR NORMAL BALANCES Cash- Receivables- Raw materials, beg: P250,000 P450,000 P10,000 Work in Process Beginning- P20,000 Prepaid Expense- P60,000 Building P550,000 Less: Accum. Dep'n (P50,000) Machinery and Equipment P250,000 Less: Accum. Dep'n (P30,000) Store Equipment P150,000 Less: Accum. Dep'n (P50,000) Furnitures and Fixtures P80,000 Less: Accum. Dep'n (P25,000) Accounts Payable P85,000 Accrued Payroll P30,000 Mortgage Payable P90,000 Common Stock- P900,000 P560,000 Retained Earnings- Requirements: 1. Journal Entries 2. Posting 3. Trial Balance 4. Income Statement 5. Cost of Goods Manufactured & Sold Statement 6. Balance Sheet