TRIAL BALANCE

February 28, 20X1

Acct Title Debit Credit
111 Cash in Bank 91,180
113 Accounts Receivable 1,591,640
114 Allowance for Bad Debts 2,000
115 Merchandise Inventory 272,875
117 Input Tax 104,273
121 Fur. & Equipment
121-A Accumulated Dep'n – Fur. & Equipt. 3,000
122 Transportation Equipment
122-A Accumulated Dep'n – Trans. Equipt. 5,000
211 Accounts Payable 1,115,028
Loan Payable 70,000
212-A SSS/EC Premiums Payable 2,000
213-B PhilHealth 1,000
214 Withholding Tax Payable 10,000
216 Output Tax 131,140
315 Ron Marquez Capital 300,000
316 Ron Marquez Drawing 20,000
411 Sales 1,709,500
411 Sales Discount 1,600
411 Sales Return and Allowance 3,000
Purchases 3,300
Purchase Return and Allowance 2,000
413 Cost of Goods Sold 1,108,400
511 Salaries Expense 105,000
512 Rent Expense 20,000
513 Supplies Expense 5,000
516 Gasoline Expense 7,000
517 Light, Water and Telephone 6,000
518 Depreciation - Fur. & Equipt. 3,000
519 Depreciation – Trans. Equipt. 5,000
520 Bad Debts Expense 2,000
532 Advertising Expense 6,000
533 Insurance Expense 2,000
TOTAL 3,353,968 3,353,968
INCOME STATEMENT
Feb. 28, 20X1
Sales 1,709,500
Less Sales Discount 1,600
Sales Return and Allowance 3,000 4,600
Net Sales 1,704,900
Less Cost of Sales 1,108,400
Add Purchases
Purchase Discount 3,300
Return and Allowances 2,000
Gross Profit 601,800

Less Operating Expense

Salaries Expense 105,000
Rent Expense 20,000
Supplies Expense 5,000
Gasoline Expense 7,000
Light, Water & Telephone 6,000
Bad Debts Expense 2,000
Advertising Expense 6,000
Insurance Expense 2,000 153,000
Net Income 448,800
BALANCE SHEET
Feb. 28,20X1
ASSETS
CURRENT ASSETS
Cash in Bank 91,180
Accounts Receivable 1,591,640
Less Allowance for Bad Debts 2,000 1,589,640
Merchandise Inventory 272,875
Input Tax 104,273
Total Current Assets 2,057,968

NON-CURRENT ASSETS
Fur. & Equipment 3,000
Less Accumulated Depreciation 3,000
Net Fur. & Equipment 0
Trans. Equipment 5,000
Less Accumulated Depreciation 5,000
Net Trans. Equipment 0
Total Non-Current Assets 0
TOTAL ASSETS 2,057,968

LIABILITIES AND OWNER'S EQUITY

CURRENT LIABILITIES
Accounts Payable 1,115,028
Loan Payable 70,000
SSS/EC Payable 2,000
PhilHealth 1,000
Withholding tax payable 10,000
Output Tax 131,140
TOTAL CURRENT LIABILITIES 1,329,168

OWNER'S EQUITY
Capital 300,000
Add Net Income 448,800
Total 748,800
Less Drawing 20,000
Owner' Equity 728,800
TOTAL LIABILITIES AND OWNER'S EQUITY 2,057,968