ACCOUNTING – (Activity 2 )

( YOUR CO) is a BEAUTY SALON opened last January 2, 2020. During the month of operations, your
Business engaged in the following transactions:

Jan 2 You invested 100,000 as a start up of your business.

An amount of 36,000 was paid as an advance rental for 3months.
3 Paid 60,000 for the purchase of equipment costing 80,000 and issued a note for the balance. Th
4 Bought office supplies amounting to 17,600 on account.
13 Provided services to its customers and received 28,500.
Paid the office supplies bought on Jan. 4.
14 Paid wages to the employees for the first 2 weeks, 19,100
18 Rendered services 54,100 worth of hair and make up to a wedding. Received 32,900 and the
Customer issued a note for the balance.
23 Received the balance from customers for the services provided on Jan. 1
25 Received 4,000 from customers for services rendered.
26 Bought office supplies costing 5,200.
28 Paid wages to the employees for the 3 rd and 4th week of the month, 19,100.
31 Paid advertising, 5,000.
Received electricity bill, 2,470.
Telephone bill received, 1,494.
Miscellaneous expense for the month amounted to 3,470 and was paid.

Required: prepare the following:

1. Journalizing
2. Posting
3. Trial Balance
4. Income Statement
5. Statement of Financial Position

Accounts Title to be use are as follows:

Cash Office equipment Fees Earned

Accounts Receivable Accounts Payable Salaries and Wages Expense
Prepaid Rent Notes Payable Advertising Expense
Office Supplies (Your), Capital Utilities Expense
Miscellaneous Expense

Note: amounts are expressed in peso

PROF. E.B. UMALI