SAMPLE EXERCISE 1- “ANYTIME” SCHOOL SERVICE

1. ANALYZE THE TRANSACTIONS USING THE ACCOUNTING

EQUATION

Em’s “ Anytime” school service business has the following transactions for January

Jan 1 Invested P 50,000 cash in the business

3 Borrowed P 10,000 from Matipid Bank for business use.
7 Purchased furnitures from XM for cash of P2,000.
10 Purchased equipment from Benson worth P 4,000 on credit/on account.
16 Made a cash withdrawal of P5,000 for personal use.
17 Paid a partial payment of P2,000 for the account due to Benson in
Jan.10.
25 Received cash of P10,000 from customer X for services rendered.
26 Paid P2,000 as salary expenses .
27 Provided services to Little Foot nursery school for P5,000 on account.
30 Received partial payment from customer Little Foot for P1,000

Use the following chart of accounts : Cash, Accounts Receivable, Furnitures & Equipment ,
Accounts Payable, Em, Capital, Em, Drawing, Service Revenue, Salaries Expense

1. Identify & Analyze the transaction using the accounting equation

Date ASSETS LIABILITIES EQUITY

Jan 1 Cash A/R F&E Accts Payable C - W + R -E

Total P _______ = P________ + P ___________

2. Journalize
3. Post to T accts
4. Prepare unadjusted TB
Jan 1 Invested P 50,000 cash in the business
3 Borrowed P 10,000 from Matipid Bank for business use.
7 Purchased furnitures from XM for cash of P2,000.
10 Purchased equipment from Benson worth P 4,000 on credit.
16 Made a cash withdrawal of P5,000 for personal use.
17 Paid a partial payment of P2,000 for the account due to Benson in Jan.10.
25 Received cash of P10,000 from customer X for services rendered.
26 Paid P2,000 as salary expenses .
27 Provided services to Little Foot nursery school for P5,000 on account.
30 Received partial payment from customer Little Foot for P1,000

Use the ff chart of accounts : Cash, Accounts Receivable, Furnitures & Equipment , Accounts
Payable, Em, Capital, Em, Drawing, Service Revenue, Salaries Expense

1. Identify & Analyze the transaction using the accounting equation

Date ASSETS LIABILITIES EQUITY
2020 Cash A/R F& E Accts Payable Capital - Drawing + Rev - Exp

Jan 1
3
7
10
16
17
25
26
27
30
TOTA
L

Illustrate the rules of debits and credits:

CASH ACCOUNTS PAYABLE

Debit Credit Debit Credit
Jan 1 7 Jan 17 Jan 3
3 16 10
25 17
30 26

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JOURNALIZE: Use the ff chart of accounts : Cash, Accounts Receivable, Furnitures & Equipment , Accounts
Payable, Em, Capital, Em, Drawing, Service Revenue, Salaries Expense

Jan 1 Invested P 50,000 cash in the business

3 Borrowed P 10,000 from Matipid Bank for business use.
7 Purchased furnitures from XM for cash of P2,000.
10 Purchased equipment from Benson worth P 4,000 on credit.
16 Made a cash withdrawal of P5,000 for personal use.
17 Paid a partial payment of P2,000 for the account due to Benson in Jan.10.
25 Received cash of P10,000 from customer X for services rendered.
26 Paid P2,000 as salary expenses .
27 Provided services to Little Foot nursery school for P5,000 on account.
30 Received partial payment from customer Little Foot for P1,000

Date Particulars Debit Credit

Jan 1

10

16

17

25

2-3
 26

27

30

CASH EM , CAPITAL
ACCOUNTS PAYABLE
Debit Credit Debit
Credit Debit Credit

Jan 1 Jan 3 Jan 1

Jan 7 Jan 17
3 Jan 10
16
25 EM, DRAWING
30 Jan 16

ACCOUNTS RECEIVABLE SERVICE REVENUE

Debit Credit Debit Credit

J Jan 27 Jan 30

Furnitures & Equipment SALARIES EXPENSE

Jan 7

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4th step Prepare the Unadjusted Trial Balance

Anytime School Service

Trial Balance
January 31
Account Debit Credit

Totals P P

“Just because you had a bad start doesn’t mean you can’t have a good finish” ..... .joycemeyer.”

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