Formative Assessment on the Five Major accounts and the accounting equation

Part 1: Classifying Accounting Elements

Instruction: Classify the following account tittles as to Assets, Liabilities and Owner’s Equity and identify its normal
balance
Use “X” mark to indicate your answer. (Indicate your answer in the answer sheet provided)

NORMAL ASSET LIABILITY OWNER’S

BALANCE EQUITY
Sample (a) Rent Expense DEBIT X
1. Cash In Bank
D
2. Sir Raulo, Capital
C
3. Prepaid Expenses
D
4. Accounts Receivable
D
5. Accounts Payable
C
6. Unused Office Supplies
D
7. Taxes And Licenses
D
8. Uncollectible Accounts

9. ABC, Drawing

10. Notes Payable

11. Repairs And Maintenance

12. Accrued Income

13. Petty Cash Fund

14. Insurance Expense

D
15. Purchases

COPYRIGHT NOTICE: The contents of this module and any attachments are protected by copyright laws. Reproduction and distribution of
this module without written permission of the rightful owner is strictly prohibited ©2022.
Part 2: Supply the needed accounting information of the table below and answer the required questions

DATE ASSETS LIABILITIES EQUITY

CASH SUPPLIES EQUIPMENT
BALANCE 245,000 130,000 ? 75,010 649,991
1 150,210 150,210
2
3
4
5
6
7
8
9
10

Transactions:

1. The business earned PHP150,210 cash from providing services.

2. Purchased equipment at PHP20,100 for cash.
3. The owner withdrew cash of PHP112,500
4. The business incurred PHP122,520 expenses and paid in cash.
5. The company purchased supplies on account amounting to 65,000.
6. The owner withdrew cash of PHP15,000
7. The business incurred PHP15,000 expenses and paid in cash.
8. Paid liabilities worth PHP53,000.
9. The owner withdrew supplies worth PHP8,000
10.the business bought equipment amounting to 15,000

After completing the table above, answer the following:

1. What is the balance of Assets?

2. What is the ending balance of Liabilities?
3. What is the beginning balance of equipment?
4. What is the ending balance of Equity?
5. What is the beginning balance of Assets?

COPYRIGHT NOTICE: The contents of this module and any attachments are protected by copyright laws. Reproduction and distribution of
this module without written permission of the rightful owner is strictly prohibited ©2022.