GENERAL JOURNAL

DATE PARTICULARS PR
20x1
Jan 1 Cash
Owner's Capital
To record investment of owner

2 Equipment
Cash
To record acquisition of equipment

3 Cash
Loan Payable
To record obtained one year loan

4 Prepaid Insurance
Cash
To record paid one year insurance

5 Cash
Accounts Receivable
Service Fees
To rccord earned service

6 Cash
Accounts Receivable
To record Collection of Receivable

7 Salaries Expense
Cash
To record paid salaries

8 Utilities Expense
Cash
To record paid utilities

9 Supplies
Cash
To record purchased of supplies

10 Owner's Drawings
Cash
To record owners drawings
ADJUSTING ENTRIES
31 Depreciation Expense - Equipment
Accumulated Depreciation - Equipment
Recognition of depreciation expense of equipment

31 Interest Expense
Interest Payable
Recognition of accrued interest

31 Insurance Expense
Prepaid Insurance
Recognition of insurance expense

31 Supplies Expense
Supplies
Recognition of supplies expense
CLOSING ENTRIES
31 income Summary
Salaries Expense
Utilities Expense
Depreciation Expense - Equipment
Interest Expense
Insurance Expense
Supplies Expense
Closing Expense Account to income summary

31 Service Fees
Income summary
Closing income account to income summary

31 Income summary
Owners Capital
Closing Income summary to owners capital

31 Owner's Capital
Owner's Drawings
Closing drawing account
 GL 1

DEBIT CREDIT

2,000,000.00
2,000,000.00

1,000,000.00
1,000,000.00

500,000.00
500,000.00

160,000.00
160,000.00

2,000,000.00
4,000,000.00
6,000,000.00

1,800,000.00
1,800,000.00

1,200,000.00
1,200,000.00

500,000.00
500,000.00

120,000.00
120,000.00

1,400,000.00
1,400,000.00
 100,000.00
100,000.00

30,000.00
30,000.00

40,000.00
40,000.00

80,000.00
80,000.00

1,950,000.00
1,200,000.00
500,000.00
100,000.00
30,000.00
40,000.00
80,000.00

6,000,000.00
6,000,000.00

4,050,000.00
4,050,000.00

1,400,000.00
1,400,000.00
 CASH OWNER'S CAPITAL
DEBIT CREDIT DEBIT
Beg. Bal. 0 0 Beg. Bal Beg. Bal. 0
1 2,000,000.00 1,000,000.00 2
3 500,000.00 160,000.00 4
5 2,000,000.00 1,200,000.00 7
6 1,800,000.00 500,000.00 8
120,000.00 9 OWNER'S DRAWINGS
1,400,000.00 10 DEBIT
End. Bal. 1,920,000.00 Beg. Bal. 0
10 1,400,000.00
ACCOUNTS RECEIVABLE
DEBIT CREDIT End. Bal. 1,400,000.00
Beg. Bal. 0 0 Beg. Bal
5 4,000,000.00 1,800,000.00 6 SERVICE FEES
DEBIT
End. Bal. 2,200,000.00 Beg. Bal. 0

PREPAID INSURANCE
DEBIT CREDIT
Beg. Bal. 0 0 Beg. Bal
4 160,000.00 SALARIES EXPENSE
DEBIT
End. Bal. 160,000.00 Beg. Bal. 0
. 7 1,200,000.00
SUPPLIES
DEBIT CREDIT End. Bal. 1,200,000.00
Beg. Bal. 0 0 Beg. Bal
9 120,000.00 UTILITIES EXPENSE
DEBIT
End. Bal. 120,000.00 Beg. Bal. 0
8 500,000.00
EQUIPMENT
DEBIT CREDIT End. Bal. 500,000.00
Beg. Bal. 0 0 Beg. Bal
2 1,000,000.00

End. Bal. 1,000,000.00

NOTES PAYABLE
DEBIT CREDIT
Beg. Bal. 0 0 Beg. Bal
500,000.00 3
500,000.00 End. Bal.
 OWNER'S CAPITAL
CREDIT
0 Beg. Bal
2,000,000.00 1

2,000,000.00 End. Bal.

OWNER'S DRAWINGS
CREDIT
0 Beg. Bal

SERVICE FEES
CREDIT
0 Beg. Bal
6,000,000.00 5

6,000,000.00 End. Bal.

SALARIES EXPENSE
CREDIT
0 Beg. Bal

UTILITIES EXPENSE
CREDIT
0 Beg. Bal
 TRIAL BALANCE
ACCOUNT TITLES DEBIT
Cash ₱ 1,920,000.00
Accounts Receivable 2,200,000.00
Prepaid Insurance 160,000.00
Supplies 120,000.00
Equipment 1,000,000.00
Accumulated Depreciation - Equipment
Notes Payable
Interest Payable
Owner's Capital
Owner's Drawings 1,400,000.00
Service Fees
Salaries Expense 1,200,000.00
Utilities Expense 500,000.00
Depreciation Expense - Equipment
interest Expense
Insurance Expense
Supplies Expense
TOTALs ₱ 8,500,000.00
Net Income
 ENTITY A
Worksheet
As of December 31,20x1

TRIAL BALANCE ADJUSTMENTS ADJUSTED TRIAL BALANCE

CREDIT DEBIT CREDIT DEBIT
₱ 1,920,000.00
2,200,000.00
₱ 40,000.00 120,000.00
80,000.00 40,000.00
1,000,000.00
100,000.00
₱ 500,000.00
30,000.00
2,000,000.00
1,400,000.00
6,000,000.00
1,200,000.00
500,000.00
₱ 100,000.00 100,000.00
30,000.00 30,000.00
40,000.00 40,000.00
80,000.00 80,000.00
₱ 8,500,000.00 ₱ 250,000.00 ₱ 250,000.00 ₱ 8,630,000.00
 ENTITY A
Worksheet
As of December 31,20x1

USTED TRIAL BALANCE INCOME STATEMENT BALANCE SHEET

CREDIT DEBIT CREDIT DEBIT
₱ 1,920,000.00
2,200,000.00
120,000.00
40,000.00
1,000,000.00
₱ 100,000.00
500,000.00
30,000.00
2,000,000.00
1,400,000.00
6,000,000.00 ₱ 6,000,000.00
₱ 1,200,000.00
500,000.00
100,000.00
30,000.00
40,000.00
80,000.00
₱ 8,630,000.00 ₱ 1,950,000.00 ₱ 6,000,000.00 ₱ 6,680,000.00
₱ 4,050,000.00
₱ 6,000,000.00 ₱ 6,000,000.00 ₱ 6,680,000.00
BALANCE SHEET CLOSING POST CLOSING
CREDIT DEBIT CREDIT DEBIT
₱ 1,920,000.00
2,200,000.00
120,000.00
40,000.00
1,000,000.00
₱ 100,000.00
500,000.00
30,000.00
2,000,000.00 ₱ 1,400,000.00 ₱ 4,050,000.00
1,400,000.00
6,000,000.00
1,200,000.00
500,000.00
100,000.00
30,000.00
40,000.00
80,000.00
₱ 2,630,000.00 ₱ 7,400,000.00 ₱ 7,400,000.00 ₱ 5,280,000.00
₱ 4,050,000.00
₱ 6,680,000.00
POST CLOSING
CREDIT

₱ 100,000.00
500,000.00
30,000.00
4,650,000.00

₱ 5,280,000.00
 Entity A
Balance Sheet
As of December 31, 20x1

ASSETS
CURRENT ASSETS
Cash 1,920,000.00
Accounts Receivable 2,200,000.00
Prepaid Insurance 120,000.00
Supplies 40,000.00
TOTAL CURRENT ASSETS ₱ 4,280,000.00

NON CURRENT ASSETS

Equipment 1,000,000
Accumulated Depreciation Equipment -100,000
TOTAL NON CURRENT ASSETS ₱ 900,000.00

TOTAL ASSETS ₱ 5,180,000.00

LIABILITIES AND OWNER'S EQUITY

CURRENT LIABILITIES
Interest Payable 30,000.00
TOTAL CURRENT LIABILITIES ₱ 30,000.00

NON CURRENT LIABILITIES

Notes Payable 500,000.00
TOTAL NON CURRENT LIABILITIES ₱ 500,000.00

EQUITY
Owner's Equity 4,650,000.00
TOTAL OWNER'S EQUITY ₱ 4,650,000.00

TOTAL LIABILITIES AND OWNER'S EQUITY ₱ 5,180,000.00

 Entity A
Income Statement
As of December 31, 20x1

Revenues
Service Fees 6,000,000.00
Total Revenues ₱ 6,000,000.00

Expenses
Salaries Ecpense 1,200,000.00
Utilities Expense 500,000.00
Depreciation Expense - Equipment 100,000.00
Interest Expense 30,000.00
Insurance Expense 40,000.00
Supplies expense 80,000.00
Total Expenses ₱ 1,950,000.00

come/ Loss ₱ 4,050,000.00