Technology and Livelihood Education Grade 9

Name: Score:
Section:

Analysis of Transaction (Effects of Transaction on Accounting Equation)

Required: Analyze the following transaction by showing its effect on accounting elements and prove the accounting equation A=L+C
June 1 –R. Villa opened the R. Villa Accounting firm with initial investment of Php400,000.00
3- The business purchased office equipment valued Php65,000.00 paying P20,000 and the
Balance of P45,000 is to be paid in 30 days
5- Rendered services to a client on cash valued Php 95,000.00
9- Paid the office rent in advance for 3 months Php 15,000.00 per month
11-Signed a contract for accounting services wherein a 30-day promissory note was received for Php 50,000.00
15-Paid the salaries of the workers for Php 70,000.00
20- Additional equipment was bought on credit valued Php 30,000.00
22-Paid the balance of the account on June 3 valued Php 45,000.00
25-Received the payment of Php 35,000.00 only from the client’s promissory note
30- R. Villa took Php 11,000.00 for his personal use

Date Asset = Liability + Capital

Cash Notes Receivable Prepaid Rent Equipment Accounts Payable R. Villa

Equity
June 1
3
5
9
11
15
20
22
25
30
Balances

Good Luck and God bless you!!!!

 Technology and Livelihood Education Grade 9
Name: Score:
Section:

Good Luck and God bless you!!!!