The following are the transactions for January 2016 of Ken Merchandising : January 01 January 01 January 02 January 04 January 10 January 15 January 25 January 31 Instruction: On January 01, 2016, Ken invested 500,000 cash into Ken Merchandising. On the same date, he paid 66,000 for six months' rent on the store space, P13,000 for business licenses and permits, and P60,000 for various store furniture. He also bought P90,000 worth of office supplies on account with the intention to sell them at a higher price. The company paid 500 for the shipping fee. FOB Terms: FOB Shipping point, Freight Collect. However, the next day, the business received a P2,500 credit memo for allowance granted on the purchased merchandise. The supplies were bought from Fact Supplies Store on terms n/60. The business bought from Star Supplies Shop P10,000 worth of supplies to be used in the store on terms 50% down payment, balance n/30. Michaela, a part time employee, was able to sell some of the store's merchandise to Mr. Daniel for P15,000 on terms 50% downpayment, balance 2/10, n/30. FOB Terms: FOB Destination, Freight Collect. Mr. Daniel paid 900 shipping fee. The business sold to Mrs. Cooper merchandise for P10,000 on terms 2/10, n/30. Mr. Jonas paid the business P40,000 for merchandise bought on the same day. Mr. Jonas already paid all the merchandise in full, however, he requested that some merchandise be delivered to his new business address sometime next month. At the end of the month, the business paid utilities totaling P5000 and miscellaneous expenses amounting to P4,000. Merchandise inventory as of January 31, 2016, is P15,500, based on physical count. This excludes the amount of inventory to be delivered, based on January 25 transaction. Use Perpetual Inventory System To determine the cost of goods sold in each sales transaction, the gross profit is 40% based on cost. (Sales Amount times 1.4) Journalize the other necessary adjustment for January 2016. Question: Is there any missing merchandise inventory? Justify your answer by giving poof (ex. computation) 100 Assets 101 Cash 102 Accounts Receivable 103 Allowance for Doubtful Accounts 104 Merchandise Inventory 105 106 107 108 Prepaid Rent Store Supplies Store Fumiture Accumulated Depreciation - Store Fumiture 200 Liabilities 201 Accounts Payable 202 Salaries Payable 203 Unearned sales CHART OF ACCOUNTS 400 401 402 300 Equity 301 Maria Lopez, Capital Revenues Sales Sales Retum and Allowances 500 501 502 503 504 Rent Expense 505 Taxes and Licenses Expense Store Supplies Expense Depreciation Expense - Store Fumiture Doubtful Accounts Expense Expenses Cost of Goods Sold Utilities Expense Salaries Expense 506 507 508 509 Miscellaneous Expense 510 Freight out 511 Inventory shortage 512 Income Summary