In April 1, 2020 Atty. Norman Fumar and Atty.

Ruth Ramulte after passing the bar exam decided to form a

partnership to open Non- VAT registered practice named Fumar and Ramulte Law Firm. Each of them
invested ₱ 100,000.00 and decided to have an equal sharing of profit and losses.

The entity prepares a monthly financial statement; hence, adjusting and closing are made at the end of each
month.

CHART OF ACCOUNTS
110 Cash
120 Accounts Payable
130 Input VAT
140 Office Equipment
145 Accumulated Depreciation – Office Equipment
210 Accounts Payable
220 Withholding Tax Payable
230 Expanded Withholding Tax Payable
240 SSS, PH and Pag-ibig Contributions Payable
250 Utilities Payable
260 Accrued Percentage Tax
310 Fumar, Capital
320 Fumar, Withdrawals
330 Ramulte, Capital
340 Ramulte, Withdrawals
350 Income Summary
410 Service Revenue
510 Salaries Expense
520 SSS, PH and Pag-ibig Contirbutions
530 Rent Expense
540 Utilities Expense
550 Supplies Expense
560 Transportation Expense
570 Depreciation Expense – Equipment
580 Percentage Tax Expense
590 Miscellaneous Expense
 Fumar & Ramulte Law Firm
Post-Closing Trial Balance
For the Month Ended October 31, 2020

Cash
Accounts Receivable
Office Equipment
Accumulated Depreciation – Office Equipment
Withholding Tax Payable
Expanded Withholding Tax Payable
SSS, PH and Pag-ibig Contributions
Utilities Payable
Accrued Percentage Tax
Fumar, Capital
Ramulte, Capital

Required:
1. Transfer the post-closing trial balance amounts to its corresponding account in general ledger as
beginning balance.
2. Journalize and post the transactions for the month of November.
3. Prepare a trial balance directly at a worksheet. Complete the worksheet.
4. Prepare the financial statements (Statement of Performance, Statement of Financial Position,
Statement of Partner’s Equity, and Cash Flows).
5. Journalize and post the adjusting entry.
6. Journalize and post the closing entry.
7. Prepare the post-closing trial balance for the month of November.

Additional Information:
a. Depreciation expense of long-lived asset is 10% of the asset cost per annum.
b. Percentage Tax is 3% of the monthly revenue.
c. Special Journals (Revenue, Cash Receipt, and Cash Disbursement)
d. General Journal (General Journal A, General Journal C)

REVENUES JOURNAL

Date Invoice Accounts Debited P. R. Service Accounts

2020 No. Revenue Receivable
Credit Debit
 CASH RECEIPT JOURNAL

Date O. R. Invoice Accounts P. R. Accounts Service Cash

2020 No. No. Debited Receivable Revenue Debit
Credit Credit
 GENERAL JOURNAL
ADJUSTING ENTRIES

Date Account Title and Explanation P.R. Debit Credit

GENERAL JOURNAL
CLOSING ENTRIES

Date Account Title and Explanation P.R. Debit Credit

 GENERAL LEDGER
110 Cash
Date Description P.R. Debit Credit Balance

120 Accounts Receivable

Date Description P.R. Debit Credit Balance

130 Input VAT

Date Description P.R. Debit Credit Balance

140 Office Equipment

Date Description P.R. Debit Credit Balance

145 Accumulated Depreciation – Office Equipment

Date Description P.R. Debit Credit Balance

210 Accounts Payable

Date Description P.R. Debit Credit Balance
220 Withholding Tax Payable
Date Description P.R. Debit Credit Balance

230 Expanded Withholding Tax Payable

Date Description P.R. Debit Credit Balance

230 Expanded Withholding Tax Payable

Date Description P.R. Debit Credit Balance

250 Utilities Payable

Date Description P.R. Debit Credit Balance

260 Utilities Payable

Date Description P.R. Debit Credit Balance

310 Fumar, capital

Date Description P.R. Debit Credit Balance
320 Fumar, Withdrawals

Date Description P.R. Debit Credit Balance

330 Ramulte, Capital

Date Description P.R. Debit Credit Balance

340 Ramulte, Withdrawals

Date Description P.R. Debit Credit Balance

350 Income Summary

Date Description P.R. Debit Credit Balance

410 Service Revenue

Date Description P.R. Debit Credit Balance

510 Salaries Expense

Date Description P.R. Debit Credit Balance

520 SSS, PH and Pag-ibig Contributions

Date Description P.R. Debit Credit Balance

530 Rent Expense

Date Description P.R. Debit Credit Balance

540 Utilities Expense

Date Description P.R. Debit Credit Balance

550 Supplies Expense

Date Description P.R. Debit Credit Balance

560 Transportation Expense

Date Description P.R. Debit Credit Balance

570 Depreciation Expense

Date Description P.R. Debit Credit Balance

580 Percentage Tax Expense

Date Description P.R. Debit Credit Balance

590 Miscellaneous Expense

Date Description P.R. Debit Credit Balance

SUBSIDIARY LEDGER
R. Cebailos Accounts Receivable Subsidiary Ledger

Date Description P.R. Debit Credit Balance

M. Mercado Accounts Receivable Subsidiary Ledger

Date Description P.R. Debit Credit Balance

E. Sudario Accounts Receivable Subsidiary Ledger

Date Description P.R. Debit Credit Balance

M. Tuscano Accounts Receivable Subsidiary Ledger

Date Description P.R. Debit Credit Balance

A. Cayosa Accounts Receivable Subsidiary Ledger

Date Description P.R. Debit Credit Balance

F. Avelino Accounts Receivable Subsidiary Ledger

Date Description P.R. Debit Credit Balance
 Fumar & Remultive Law Firm

Statement of Comprehensive Income

For the Month Ended November 30, 2020

REVENUES

Service Revenue

OPERATING EXPENSES

Salaries Expenses

SSS, PH and Pag-ibig Contributions

Rent Expense

Utilities Expense

Supplies Expense

Depreciation Expense

Percentage Tax Expense

Miscellaneous Expense ______________

Total Expense _____________

Net Income

Fumar & Remultive Law Firm

Statement of Partner’s Equity

For the Month Ended November 30, 2020

Atty. Fumar Atty. Ramulte Total

Beginning Capital

Drawing
Net Income
Ending Capital
 Fumar & Remultive Law Firm

Statement of Financial Position

For the Month Ended November 30, 2020

ASSETS

Cash

Accounts Receivable

Input VAT

Total Current Asset

Office Equipment

Accumulated Depreciation ______________

Total Non-current Asset ______________

TOTAL ASSET

LIABILITIES

Withholding Tax Payable

Expanded withholding Tax Payable

SSS, PH and Pag-ibig Contributions Payable

Utilities Payable

Accrued Percentage Tax __________

Total Liabilities ______________

PARTNER’S EQUITY

Fumar, Capital 11/30/2020 ______________

Ramulte, Capital 11/30/2020 ______________

TOTAL LIABILITIES AND PARTNER’S EQUITY ______________

______________
 Fumar & Remultive Law Firm

Statement of Cash Flow

For the Month Ended November 30, 2020

CASH-IN ACTIVITIES

Total Cash-in

CASH OUT ACTIVITIES

________

Total Cash Out

NET INCREASE IN CASH

Add: Cash Balance 11/30/2020

Cash Balance 11/30/2020

 Fumar & Ramulte Law Firm
Post-Closing Trial Balance
For the Month Ended November 30, 2020

P.R. Account Titles Debit Credit

 CASH DISBURSEMENT JOURNAL

Date Check Check Accounts Debited PR Salaries Sundry SSS, PH Withholdin Input VAt Cash Credit
2020 Voucher No. Expenses Debit and Pag- g Tax Supplie Debit Expanded
No. Debit ibig payable Payable Expenses Withholdin
Debit Debit debit g Tax
(Credit) (Credit) Payable
Debit
(Credit)
 Fumar & Remulta Law Firm
Worksheet
For the Month Ended November 30,2020

Account No. Account Title Total Balance Adjustment Income Statement Balance Sheet
Debit Credit Debit Credit Debit Credit Debit Credit