Giane Gayle P.

Cadion
BSTM 1-3D
Exercise 2-4
A medical practioner Dr. Nikolai opened his clinic with the following initial transactions:

1. Dr. Niko opened a medical clinic by investing P300,000 pesos.

2. Issued a promissory note for the P100,000 he borrowed from Banco De Uno.
3. Purchased a medical bed and its accessories worth ₱100,000
4. Bought from A Co. a table and cabinet worth ₱70,000.
5. Purchased medical supplies in the amount of ₱25,000 cash.
6. Withdrew ₱20,00 for personal use
7. Purchased chairs on account for ₱15,000.
8. Paid 50% of account to A co.
9. Bought from SM Furniture cabinet shelves worth of ₱20,000. Paid ₱5,000 cash
and the balance on account.
10. Received P75,000 from the group of patients as medical fees.
11. Paid power and water bills for the month, P8,000.
12. Paid medical assistant salary, P20,000.
13. Charged the patients for attending the medical care, P50,000.
14. Paid the balance in full to SM Furniture.
15. Collected 70% of medical fees charged to patients in no.13.
16. Paid communication bills, P3,500.
17. Paid P6,000 to Petron Station for the gasoline of Dr. Nikolai’s service vehicle.
18. Settled a partial payment of P70,000 to Banco De Uno (refer to item no. 2)
19. Purchased additional medical equipment, P50,000. Terms: Paid
P30,000 and the balance after 30 days.
20. Returned defective medical supplies purchased in no. 5, worth P5,000.
21. By taking inventory at the end of the period, medical supplies
consumed amounted to P18,000.
 ASSETS LIABILITIES CAPITAL
Acct. Fur. & Equipme Accounts Notes Nikolai
No. Cash Receiva Supplies Fixture nt. Payable Payable , Notations
ble Capita
l
1 300,000 300,000 Initial
Investment
2 100,000 100,000
3 (100,000) 100,000
4 70,000 70,000
5 (25,000) 25,000
6 (20,000) (20,000) Nikolai
withdrawal
7 15,000 15,000
8 (35,000) (35,000)
9 (5,000) 20,000 15,000
10 75,000 75,000 Service
Revenue
11 (8,000) (8,000) Utilities
Expense
12 (20,000) (20,000) Salaries
Expense
13 50,000 50,000 Service
Revenue
14 (15,000) (15,000)
15 35,000 (35,000)
16 (3,500) (3,500) Utilities
Expense
17 (6,000) (6,000) Transportati
on Expense
18 (70,000) (70,000)
19 (30,000) 50,000 20,000
20 5,000 (5,000)
21 (18,000) (18,000) Medical
Supplie
s
Expens
e
Bala P177,50 P15,000 P2,000 P205,00 P50,00 P70,000 P30,000 P349,500
nce 0 0 0

2. Prepare the following financial reports for the month of January 2020:
a) Income Statement
b) Statement of Owner’s Equity
c) Statement of Financial Position
d) Statement of Cash Flows
a)
Dr. Nikolai’s Medical Clinic
Statement of Income and Expenses
For the Month Ended January 31, 2020
Service Revenue P125,000
Less: Operating Expenses
Salaries P20,000
Utilities P11,500
Medical Supplies P18,000
Transportation P6,000
Total Operating Expenses P55,500
Net Income P69,500

b)
Dr. Nikolai’s Medical Clinic
Statement of Owner’s Equity
For the Month Ended January 31, 2020
Nikolai Capital, January 1, 2020 P300,000
Add: Net Income P69,500
Total P369,500
Less: Withdrawals (P20,000)
Nikolai Capital, January 31, 2020 P349,500
c)
Dr. Nikolai’s Medical Clinic
Statement of Financial Position
January 31,2020
ASSETS Liabilities and Capital
Cash P177,500 Account Payable P70,000
Accounts Receivable P15,000 Notes Payable P30,000
Supplies P2,000 Nikolai, Capital P349,500
Furniture and Fixtures P205,000
Equipment P50,000
Total Assets P449,500 Total Liabilities and Capital P449,500

d)
Dr. Nikolai’s Medical Clinic
Statement of Cash Financial Position
January 31,2020
Cash Flows from Operating Activities
Service Revenues P110,000
Collection of Receivables P35,000
Purchased Supplies (P25,000)
Payment Expenses
Salaries P20,000
Utilities P11,500
Transportation P6,000 (P37,500) P82,500
Cash Flows from Investment Activities:
Purchased of Equipment (P30,000)
Purchased of Furniture and Fixtures (P155,000) (P185,000)

Cash Flows from Financing Activities:

Investment of the Proprietor P300,000
Withdrawals of the Proprietor (P20,000) P280,000

Cash Balance, January 31,2020 P177,500