Problem #5

Req.1

General Ledger

110 Cash 120 Accts. Rec. 130 Merch. Inv.

₱240,000 ₱613,700 ₱210,000 ₱860,000 ₱730,000
₱2,758,400 ₱1,420,000 ₱30,000 ₱730,000
₱2,998,400 ₱613,700 ₱1,630,000 ₱890,000
₱2,384,700 ₱740,000

140 Prepaid Rent 150 Office Supplies 160 Office Equipt.

₱90,000 ₱160,000 ₱1,000,000
₱90,000 ₱40,000 ₱1,000,000
₱200,000

165 Accu. Dep. 210 Notes Payable 220 Accts. Payable

₱250,000 ₱400,000 ₱300,000 ₱130,000
₱250,000 ₱170,000 ₱10,000 ₱1,370,000
₱570,000 ₱310,000 ₱1,500,000
₱1,190,000

230 Salaries Payable 310 Pangan, Capital 320 Pangan, Withdrawals

₱90,000 ₱1,650,000 ₱100,000
₱90,000 ₱1,650,000 ₱100,000

330 Income Summary 410 Sales 420 Sales Ret.& Allow.

₱1,064,700 ₱1,420,000 ₱30,000
₱1,064,700 ₱1,740,000 ₱30,000
₱3,160,000

430 Sales Discounts 510 Purchases 520 Purchases R&A

₱11,600 ₱1,370,000 ₱10,000
₱11,600 ₱70,000 ₱10,000
₱1,440,000

530 Purchase Discounts 540 Transportation In 610 Salaries Expense

₱6,300 ₱20,000 ₱80,000
₱6,300 ₱20,000 ₱80,000

620 Rent Expense 630 Office Supplies Exp. 640 Depreciation Expense
₱30,000 ₱130,000 ₱10,000
₱30,000 ₱130,000 ₱10,000
650 Interest Expense
₱10,000
₱10,000
 Req.2

Subsidiary Ledger Pu

Accts. Receivable Subsidiary Ledger Date R.R. No.

R. Loyola (2/10, n/30) 12/28/20 Jan. 3 316

₱210,000 11
₱210,000 17
25
Accts. Payable Subsidiary Ledger 28
₱43 30
E. Samonte Comp. (3/10, n/30) 12/28/30
₱130,000
₱130,000 Sales Journa

Date Invoice No.

2021
Jan. 2 316

8 317
13 318
18 319
23 320
29 321
 Purchases Journal
Credits Debits
Account Credited PR Purchases
Accts. Payable
Acct. Titles PR Amounts
T. Arenas Company / ₱90,000 Purchases ₱90,000
L. Viray Company / ₱120,000 Purchases ₱120,000
E. Samonte Company / ₱190,000 Purchases ₱190,000
A. Braganza Company / ₱340,000 Purcahses ₱340,000
L. Viray Company / ₱270,000 Purchases ₱270,000
T. Arenas Company / ₱360,000 Purchases ₱360,000
₱1,370,000 ₱1,370,000

Sales Journal
Post.
Account Debited Accts. Receivable Dr./Sales Cr.
Ref.

B. Bandonell / ₱240,000

G. Sevidal / ₱310,000
M. Cerda / ₱130,000
R. Loyola / ₱460,000
B. Bandonell / ₱110,000
M. Cerda / ₱170,000
₱1,420,000
 Cash Receipts Journal
Debits
Date O.R. No. Description
Cash

Jan. 4 Collection to R. Loyola ₱205,800

5 Sales of merch ₱430,000
10 Collection from B. Bandonell ₱235,200
22 Collection from M. Cerda ₱127,400
25 Collection from G. Sevidal ₱280,000
27 First Morayta Bank Loan ₱170,000
30 Sales of merch ₱1,310,000
₱2,758,400
₱2,770,000

Cash Disbursement Journal

Credits
Date Ck. No. Description
Cash

Jan. 7 83 E. Samonte Company ₱126,100

11 84 T. Arenas Company ₱77,600
12 85 Paid merchandise ₱70,000
14 86 Paid interest ₱10,000
15 87 Paid salaries ₱80,000
19 88 Pangan, Withdrawals ₱100,000
21 89 Acquired office supplies for cash ₱40,000
22 90 Paid freight charges ₱20,000
26 91 Paid E. Samonte Company partially ₱90,000
₱613,700
₱620,000
 Cash Receipts Journal
Debits Credits
Other Accts
Sales Discounts Accts. Receivable Sales
Acct. Titles PR
₱4,200 ₱210,000
₱430,000
₱4,800 ₱240,000
₱2,600 ₱130,000
₱280,000
Notes Payable
₱1,310,000
₱11,600 ₱860,000 ₱1,740,000
₱2,770,000 ₱2,770,000

Cash Disbursement Journal

Credits Debits
Sundries
Purchases Discount Accts. Payable Purchases
Acct. Titles PR
₱3,900 ₱130,000
₱2,400 ₱80,000
₱70,000
Interest Expense
Salaries Expense
Pangan, Withdrawals
Office Supplies
Transportation In
₱90,000
₱6,300 ₱300,000 ₱70,000
₱620,000 ₱620,000
 Req.4-7
WO
Ricardo Pangan Company
Trial Balance
Other Accts Jan. 31, 2021
Amount Unadjusted
Account Titles Debit Credit
110 Cash ₱2,384,700
120 Accounts Receivable ₱740,000
130 Merchandise Inventory ₱730,000
140 Prepaid Rent ₱90,000
₱170,000 150 Office Supplies ₱200,000
160 Office Equipt. ₱1,000,000
₱170,000 165 Accum. Depreciation ₱250,000
210 Notes Payable ₱570,000
220 Accounts Payable ₱1,190,000
230 Salaries Payable
310 Pangan, Capital ₱1,650,000
Sundries 320 Pangan, Withdrawals ₱100,000
Amount 330 Income Summary
410 Sales ₱3,160,000
420 Sales Ret. & Allow. ₱30,000
430 Sales Discounts ₱11,600
₱10,000 510 Purchases ₱1,440,000
₱80,000 520 Purchases Ret. & Allow. ₱10,000
₱100,000 530 Purchases Discounts ₱6,300
₱40,000 540 Transportation In ₱20,000
₱20,000 610 Salaries Expense ₱80,000
620 Rent Expense
₱250,000 630 Offcie Supplies Expense
640 Depreciation Expense
650 Interest Expense ₱10,000
₱6,836,300 ₱6,836,300
 WORKSHEET
gan Company Ricardo Pangan Company
Balance Financial Statements
1, 2021 For the Month End Jan. 31, 2021
Adjustments Adjusted Income Statement Balance Sheet
Debit Credit Debit Credit
₱2,384,700 ₱2,384,700
₱740,000 ₱740,000
₱730,000 ₱730,000 ₱470,000 ₱470,000
₱30,000 ₱60,000 ₱60,000
₱130,000 ₱70,000 ₱70,000
₱1,000,000 ₱1,000,000
₱10,000 ₱260,000 ₱260,000
₱570,000 ₱570,000
₱1,190,000 ₱1,190,000
₱90,000 ₱90,000 ₱90,000
₱1,650,000 ₱1,650,000
₱100,000 ₱100,000

₱3,160,000 ₱3,160,000
₱30,000 ₱30,000
₱11,600 ₱11,600
₱1,440,000 ₱1,440,000
₱10,000 ₱10,000
₱6,300 ₱6,300
₱20,000 ₱20,000
₱90,000 ₱170,000 ₱170,000
₱30,000 ₱30,000 ₱30,000
₱130,000 ₱130,000 ₱130,000
₱10,000 ₱10,000 ₱10,000
₱10,000 ₱10,000
₱260,000 ₱260,000 ₱6,936,300 ₱6,936,300 ₱2,581,600 ₱3,646,300 ₱4,824,700 ₱3,760,000
₱1,064,700 ₱1,064,700
₱3,646,300 ₱3,646,300 ₱4,824,700 ₱4,824,700
Problem #6
Voucher Register
Credit Debit
Date Voucher No. Payee Terms
Accts. Payable Purchases
Jul-01 701 Gloria 2/10, n/30 ₱9,500 ₱9,500
2 702 Reyes Rentals ₱7,250
9 703 Tanupan Express, Inc. F.O.B shipping point ₱520
15 704 Pechon Company 2/10, n/30 ₱8,000 ₱8,000
20 705 Pechon Company Cancelled -₱2,000 -₱2,000
24 706 Jerusalem Company 2/10, n/30 ₱12,500 ₱12,500
 Check Register
Debit Check
Payee
Transpo. In Purch. R.&A Prepaid Rent No. Date
803 Jul-03 Reyes Rentals
₱7,250 804 Jul-10 Gloria
₱520 805 Jul-11 Tanupan Express, Inc.
Check Register
Debits Credits
Voucher No.
Accts. Payable Purch. Disc. Cash in Bank
702 ₱7,250 ₱7,250
701 ₱9,500 ₱190 ₱9,310
703 ₱520 ₱520
Problem #1
Req.1:
Direct Materials Used:
Raw Materials Inventory, Jan. 1, 2021 ₱26,490
Add: Net Cost of Purchases
Purchases-Raw Materials ₱361,920
Less: Purchases Ret. And Allowances ₱0
Purchases Discounts ₱0 ₱0
Net Purchases ₱361,920
Add: Transportation In ₱0 ₱361,920
Raw Materials Available for Use ₱388,410
Less: Raw Materials Inventory, Dec. 31, 2021 ₱24,910
Cost of Direct Materials ₱363,500

Direct Labor ₱99,085

Manufacturing Overhead
Plant Supervision ₱42,500
Indirect Labor ₱126,750
Factory Insurance ₱8,100
Factory Utilities ₱29,220
Depreciation- Factory Bldg. ₱46,200
Depreciation- Factory Equipt. ₱62,800
Manufacturing Supplies ₱9,460
Repairs and Maintenance ₱14,980
₱340,010
Req.2:
Total Manufacturing Cost ₱802,595
Add: Work in Progress Inventory, Jan. 1, 2021 ₱101,640
Total Costs of Goods Placed in Process ₱904,235
Less: Work in Progress Inventory, Dec. 31, 2021 ₱100,400
₱803,835
Finished Goods Inventory, Dec. 31, 2021 ₱141,100
Cost of Goods Manufactured ₱944,935 Req.3
Problem #2
Req. 1: Req. 2
Manufacturing Overhead Godofredo Cadelina Corp
Amortization of Patents ₱16,000 Schedule of Manufacturing
Depreciation Expense-Factory Bldg. ₱133,000 For the Year-Ended Decemb
Depreciation Expense-Factory Equipt. ₱78,000 Manufacturing Overhead
Direct Labor ₱250,000
Factory Insurance Expense ₱62,000
Factory Supervision ₱74,000
Factory Supplies Expense ₱21,000
Factory Utilities ₱115,000
Indirect Labor ₱26,000
Property Taxes-Factory Site ₱14,000
Repairs and Maintenance-Factory Equipt. ₱31,000
 Req.3
Godofredo Cadelina Corporation Godofredo Cadelina Co
Schedule of Manufacturing Overhead Statement of Cost of Goods
For the Year-Ended December 31, 2021 For the Year-End Dec.
Manufacturing Overhead Direct Materials Used
Amortization of Patents ₱16,000
Depreciation Expense-Factory Bldg. ₱133,000
Depreciation Expense-Factory Equipt. ₱78,000
Factory Insurance Expense ₱62,000
Factory Supervision ₱74,000
Factory Supplies Expense ₱21,000
Property Taxes-Factory Site ₱14,000 Direct Labor
Factory Utilities ₱115,000 Manufacturing Overhead
Indirect Labor ₱26,000
Repairs and Maintenance-Factory Equipt. ₱31,000
Total ₱570,000

Total Manufacturing Cost

Add: Work in Process, Dec. 31, 2020
Total Cost of Goods Placed in Process
Less: Work in Process, Dec. 31, 2021
Cost of Goods Manufactured
 Godofredo Cadelina Corporation
Statement of Cost of Goods Manufactured
For the Year-End Dec. 31, 2021
Direct Materials Used
Raw Materials Inventory, Dec. 31, 2020 ₱60,000
Add: Purchases-Raw Materials ₱313,000
Raw Materials Available for Use ₱373,000
Less: Raw Materials Inventory, Dec. 31, 2021 ₱78,000
Cost of Materials Used ₱295,000

Direct Labor ₱250,000

Manufacturing Overhead
Amortization of Patents ₱16,000
Depreciation Expense-Factory Bldg. ₱133,000
Depreciation Expense-Factory Equipt. ₱78,000
Factory Insurance Expense ₱62,000
Factory Supervision ₱74,000
Factory Supplies Expense ₱21,000
Property Taxes-Factory Site ₱14,000
Factory Utilities ₱115,000
Indirect Labor ₱26,000
Repairs and Maintenance-Factory Equipt. ₱31,000
₱570,000 ₱570,000

Total Manufacturing Cost ₱1,115,000

Add: Work in Process, Dec. 31, 2020 ₱8,000
Total Cost of Goods Placed in Process ₱1,123,000
Less: Work in Process, Dec. 31, 2021 ₱9,000
Cost of Goods Manufactured ₱1,114,000
Req. 4
Godofredo Cadelina Corporation
Income Statement
For the Year-End Dec. 31, 2021
Finished Goods Inventory, Dec. 31, 2020 ₱15,000
Add: Cost of Goods Manufactured ₱1,114,000
Goods Available For Sale ₱1,129,000
Less: Finished Goods Inventory, Dec. 31, 2021 ₱12,500
COGS ₱1,116,500

Sales ₱1,630,000
COGS ₱1,116,500
Gross Profit ₱513,500

Operating Expense
Advertising Expense ₱85,000
Uncollectible Accounts Expense ₱28,000
Depreciation Expense-Office Equipt. ₱37,000
Interest Expense ₱25,000
Property Taxes-Factory Site ₱14,000
Miscellaneous Expense ₱55,000
Total Expense ₱244,000

Net Profit ₱269,500

Problem #3
Req. 1 Req.2
Madelon Lee Com
WIP Inventory, End: Statement of Cost Goods
Direct Materials ₱18 For the Year-End
Direct Labor ₱7.50 Direct Materials Used:
MOH Applied (7.50*1.3) ₱10
Cost Per Unit of Ending WIP Inventory ₱35.25
Number of Units 4,500
Total Cost of WIP Ending Inventory ₱158,625

Direct Labor
Manufacturing Overhead
 Madelon Lee Company
Statement of Cost Goods Manufactured
For the Year-End 2021
Direct Materials Used:
Raw Materials Inventory, Beg. ₱84,600
Add: Purchases-Raw Materials ₱311,400
Net Purchases ₱396,000
Less: Raw Materials Inventory, End. ₱91,080
Cost of Direct Materials Used ₱304,920

Direct Labor ₱450,000

Manufacturing Overhead
Factory Utilities ₱109,440
Indirect Labor ₱194,220
Repairs and Maintenance-Factory Equipt. ₱30,060
Property Taxes-Factory Site ₱19,260
Rent Expense-Factory Bldg. ₱84,600
Factory Insurance Expense ₱16,020
Factory Supplies Expense ₱34,920
Depreciation Expense-Factory Equipt. ₱82,800
Amortization of Patents ₱13,680
Total Manufacturing Overhead ₱585,000

Manufaturing OH Rate (TMOH/DL) 1.3 or 130%

Req.3

Closing Entries
1. To close manufacturing accounts with credit balances,
and to record ending inventory for materials and WIP:
Raw Materials Inventory, End ₱91,080
W.I.P. Inventory, End ₱81,000
Manufacturing Summary ₱0

2. To close manufacturing accounts with debit balances:

Manufacturing Summary ₱0
Raw Materials Inventory, Beg. ₱84,600
W.I.P. Inventory Beg. ₱99,360
Purchases-Raw Materials ₱311,400
Direct Labor ₱450,000
Indirect Labor ₱194,220
Repairs and Maintenance-Factory Equipt. ₱30,060
Property Taxes-Factory Site ₱19,260
Factory Insurance Expense ₱16,020
Factory Supplies Expense ₱34,920
Depreciation Expense-Factory Equipt. ₱82,800
Amortization of Patents ₱13,680
Problem #4
Statement of Income Statement Manufacturing
Account Financial Position Statement
Accounts Receivable ü
Uncollectible Accounts Expense ü
Finished Goods Inventory, Beg. ü
Work in Process Inventory, Beg. ü
Raw Materials Inventory, Beg. ü
Cash ü
Depreciation Expense-Factory Bldg.
Depreciation Expense-Factory Equipt.
Depreciation Expense-Office Bldg. ü
Depreciation Expense-Office Equipt. ü
Diret Labor ü
Finished Goods Inventory, End. ü ü
Work in Process Inventory, End. ü ü
Raw Materials Inventory, End. ü ü
Factory Supervision
Factory Supplies Expense
Insurance Expense-Factory Bldg.
Insurance Expense-Office Bldg. ü
Office Supplies Expense ü
Property Taxes-Factory Site
Purchases-Raw Materials ü
Sales ü
Overhead Schedule

ü
ü

ü
ü
ü