1

Adjusting Entries

Dates Particular ref. Debit

1 Unearned Professional Service Revenue 90,000

Professional Service Revenue
To record received check professional services to be rendered

P270,000/18 monts= P15,000

P15,000X6 months= P90,000

2 Advertising Expense 45,000

Prepaid Advertising
To record payment of advertising

P135,000/9 months = P15,000

P15,000 x 3 months = P45,000

3 Salaries Expense 230,000

Salaries Payable
To record accrued salaries

Closing Entry
2022
Dec. 31 Income Summary 230,000
Salaries Expense 230,000
Reversing Entry
2022
Jan. 1 Salaries Payable 230,000
Salaries Expense 230,000

Payment Entry
2022
Jan. 4 Salaries Expense 850,000
Cash 850,000

P230,000 salaries payable+620,000 salaries expense=P850,000

Credit

90,000

45,000

230,000
 DATE Particulars P.R. DEBIT CREDIT
2022
Dec. 31 Printing Revenues 8,130,000
Income Summary 8,130,000
To close revenue account

31 Income Summary 3,730,000

Supplies Expense 710,000
Salaries Expense 2,270,000
Depreciation Expense 250,000
Repairs Expense 10,000
Telephone Expense 20,000
Utilities Expense 80,000
Interest Expense 300,000
Miscellaneous Expense 90,000
To close expense account

31 Income Summary 4,400,000

Labalan, Capital 4,400,000
To close income summary account

31 Labalan, Capital 1,500,000

Labalan, Withdrawals 1,500,000
To close withdrawal account
 DATE Particulars P.R. DEBIT CREDIT
2022
Dec. 31 Service Revenues 1,065,000
Income Summary 1,065,000
To close revenue account

31 Income Summary 405,000

Supplies Expense 20,000
Salaries Expense 295,000
Depreciation Expense - Furniture 30,000
Depreciation Expense - Building 60,000
To close expense account

31 Income Summary 660,000

Pascual, Capital 660,000
To close income summary account

31 Pascual, Capital 524,000

Pascual, Withdrawals 524,000
To close withdrawal account
 DATE Particulars P.R. DEBIT CREDIT
2022
Dec. 31 Insurance Expense 25,000
Prepaid Insurance 25,000

Interest Income 17,000

Interest Receivable 17,000

Salaries Payable 35,000

Salaries Expense 35,000

Unearned Rent Revenues 80,000

Rent Revenues 80,000