MYKZ MERCHANDISING

CHART OF ACCOUNTS

Use for journalizing and posting to the ledger

1 ASSETS 4 INCOME

11 cash 41 Sales
12 Accounts Receivable 42 Sales Return & Allowances
13 Merchandising Inventory 43 Sales Dicounts
14 Office Supplies
15 Computer
5 EXPENSES
51 Purchases
2 LIABILITIES 52 Freight In
21 Accounts Payable 53 Purchase Discounts
22 Notes Payable 54 Purchase Returns & Allowances
55 Salary Expense
3 EQUITY 56 frieght Out
31 Dela Cruz, Capital 57 Advertising Expense
32 Dela Cruz, drawing 58 Ulitilies Expense
33 Income & Expense Summary 59 Rent Expense

MYKZ MERCHANDISING
CHART OF ACCOUNTS

Use for financial statements preparation

1 ASSETS 4 INCOME

11 Cash & Cash Equivalents 41 Sales

12 Receivables 42 Sales Return & Allowances
13 Inventories 43 Sales Dicounts
14 Office Supplies
15 Property, Plant & Equipment
5 EXPENSES
51 Purchases
2 LIABILITIES 52 Freight In
21 Accounts Payable 53 Purchase Discounts
22 Notes Payable 54 Purchase Returns & Allowances
55 Salary Expense
3 EQUITY 56 frieght Out
31 Dela Cruz, Capital 57 Advertising Expense
32 Dela Cruz, drawing 58 Ulitilies Expense
33 Income & Expense Summary 59 Rent Expense
PROBLEM: Periodic Inventory method
PROBLEM:

Mr. Edgar Delacruz is the owner of MYKZ MERCHANDISING. It was registered as single Proprietorship.

July 1 Mr Edgar Dela Cruz invested P 78,000 cash in his business

2 Bought computer for 20,000 cash.

3 Bought merchandise on account P31,800. Terms: 2/10, n/30.

3 Bought supplies for cash P1,400.

4 Sold merchandise on account P30,400. FOB destination terms 2/10, n/30.

5 Paid P400 freight on July 4 sale.

6 Received credit from transaction July 3 for merchandise returned P 600.

11 Paid the account on July 3.

12 collected July 4 customer.

14 Bought merchandise worth P28,800 cash.

15 Salaries paid P3,000.

16 Borrowed money from DTI signed a promissoty note for P24,000

17 Received refund from supplier on cash purchased on July 14, P1,000.

18 Bought merchandise on account P28,400. FOB shipping point terms 2/10, n/30.

20 Paid freight P1,400 on the merchandise bought July 18.

23 Sold merchandise for P32,800.

26 Bought merchandise for cash P24,600.

27 Paid the account on the July 18 purchase, P18,000. No discount allowed on partial payment.

28 The owner withdraw cash from the business for personal use P 4,016

29 made refund to cash customers for defective merchandise, P1,800.

30 Sold merchandise on account, P27,400, n/30.

30 Paid the following expenses for the month: advertising P 2,000; Utilities P800; Rent P7,000;
salaries P 3,000.

Prepare the following:

1. Journalizing
2. Posting
3. Trial Balance
4. Cost of Sales
5. Statement of performance – Inventory ending July 31, P50,000
6. Statement of Owner’s Equity
7. Statement of Financial Position
8. Statement of cash flow
9. Recording closing entries
10. Posting closing entries
11. Post-Closing Trial Balance