PROBLEM 1

XYZ Company’s post-closing trial balance on December 31, 2017 shows the
following account balances:

Accounts Dr. Cr.

Petty cash fund 25,000
Cash in bank 2,500,000
90-day money market instruments 800,000
Accounts receivable 145,000
Allowance for bad debts
15,000
Notes receivable (Trade) 10,000

Inventory 250,000
Land 8,000,000
Building 10,000,000
Accumulated depreciation - Bldg.
4,800,000
Equipment 500,000
Accumulate depreciation - Equipment
250,000
Patent 350,000
Accumulated amortization - Patent
115,000
Trademark 150,000
Accounts payable
200,000
Notes payable - short term loan
300,000
Notes payable - long term loan (P50,000 due in 1yr.)
1,500,000
Income tax payable
550,000
Interest payable
120,000
Salaries payable
220,000
Utilities payable
10,000
Unearned income
35,000
Provision for warranty obligation
350,000
Deferred tax liability
70,000
Share capital
7,000,000
Retained earnings
6,645,000
Revaluation surplus
300,000
Cumulative translation gain - foreign operation
250,000
Totals 22,730,000
22,730,000

Requirements:
1. Prepare in good form a statement of financial position
2. Notes to financial statement

PROBLEM 2

The following items were presented for the purpose of determining comprehensive
income:

Profit for the year

3,000,000
Increase in revaluation surplus
500,000
Remeasurements of the net defined benefit liability (asset)
(100,000)
Net change in translation of foreign operation
(200,000)
Dividends declared
(150,000)
Stock rights
200,000

Requirements:
Compute for:
(a) Other comprehensive income
(b) Total comprehensive income