Beruflich Dokumente
Kultur Dokumente
HISTORY:
2000 Liabilities
2100 Current liabilities
2110 Accounts Payable
2120 Short-Term Notes
Payable
2130 Income Tax
Payable
2140 Salaries Payable
3000 Partners Equity
3100 Benjie, Capital 5000 Cost of Merchandise
3105 Benjie, Drawing
3110 Emma, Capital 6000 Expenses
3115 Emma, Drawing 6100 Insurance Expense
3120 Rhea, Capital 6110 Depreciation Expense
3125 Rhea, Drawing Building
3130 Jerelyn, Capital 6120 Depreciation Expense
3135 Jerelyn, Drawing Delivery Van
3140 Jethro, Capital 6130 Depreciation Expense
3145 Jethro, Drawing Office Equipment
3150 Income Summary 6140 Rent Expense
6150 Supplies Expense
4000 Revenues 6160 Income Tax Expense
4100 Sales 6170 Salaries Expense
4110 Sales Discount 6180 Utilities Expense
4120 Sales Returns and 6190 Miscellaneous Expense
Allowances
1000 ASSETS
Account 1110 is established to record the Cash receipts at the outlet which are not
deposited to the bank
Debits Credits
1. The amount of Cash received 1. The amount of Cash deposited in
the bank
Account 1120 is established to record the Cash deposited with banks and other financial
institutions.
Debits Credits
1. Cash deposits 1. Withdrawals
2. Interest on above deposits 2. Bank charges
3. Debit Memos 3. Deposited checks returned by the
bank
4. Credit Memos
Account 1130 is established to record the amount of Cash kept at the outlet to provide
change to customers and pay incidental bills, which are too small to warrant issuing a
check.
Debits Credits
1. The amount set aside when the 1. The amount removed to decrease
fund is established. the fund
2. The amount added to increase the
fund
Account 1140 is established to record the money owed by customers who have open
accounts with the outlet.
Debits Credits
1. The amounts due from customer 1. The amount of Customer payments
charge sales. received.
2. Deposited checks returned by the 2. The amount of accounts written-
bank. off.
3. Recovery of accounts previously
written-off.
Debits Credits
1. Write-offs 1. Establishment of the allowance
2. Recovery of accounts previously
written-off.
Account 1150 is established to record money owed by customers who have signed
promissory notes to the outlet.
Debits Credits
1. The value of notes accepted from 1. The amount of customer payments
customers received
2. Recovery of accounts previously 2. The amount of notes considered
written-off. uncollectible
Account 1160 is established to record the value of inventory on hand and in transit.
Debits Credits
1. Purchase of Inventory 1. Recording purchase discount,
2. Recording sales discount, allowance allowance and returns.
and returns. 2. Sale of Inventory
1170 Supplies
Asset
Current Asset
Account 1170 is established to record the value of incidental items that are expected to
be consumed in the near future.
Debits Credits
1. Value of supplies not used at the 1. Consumption of supplies
end of the period
Prepaid insurance is the portion of an insurance premium that has been paid in advance
and has not expired as of the date of the balance sheet. This unexpired cost is reported
in the current asset account Prepaid Insurance.
Debits Credits
1. Value of insurance not expired at 1. Expiration of insurance.
the end of the period
1210 Land
Asset
Non-Current Asset
Account 1210 is established to record the acquisition of Land purchased by the outlet
and used in the business.
Debits Credits
1. Cost of Land acquired 1. Cost of Land sold and otherwise
disposed of
1220 Building
Asset
Non-Current Asset
Account 1220 is established to record the acquisition cost of Building and Improvements
purchased by the outlet and used in the business.
Debits Credits
1. Cost of Building acquired 1. Cost of Building sold and otherwise
disposed of
Debits Credits
1. Acquisition of Delivery Van 2. Sale or Disposition of Delivery
Van
Account 1231 is established to record depreciation of delivery van due to wear and tear.
Debits Credits
1.Sale of Delivery Van 1.Depreciation of Delivery Van
Debits Credits
1. Acquisition of Office 1. Sale or Disposition of Office
Equipment Equipment
2000 LIABILITIES
Account 2110 is established to record the amounts payable to suppliers and vendors.
Debits Credits
1. Payments made on an open 1. Purchases on open account
account.
2. Purchases Returned to suppliers
3. Credit memo from vendors or
suppliers
4. Cash discounts
2120 Short-Term Notes Payable
Liabilities
Current Liabilities
Debits Credits
1. Payments made 1. Taxes due
2. Tax Credit
Debits Credits
1. Net compensation paid 1. Compensation earned by
employees including absentee pay.
Account 2150 is established to record the expense recognized in the books before it is
paid for.
Debits Credits
1. Payments made. 1. Expenses incurred but not yet paid
and recorded.
Account 2170 is established to record the monthly amount paid or payable for water,
electricity, and heating fuel consumed by the outlet.
Debits Credits
1. Payments made 1. Cost of fuel, electricity, water, etc.
Account 2210 is established to record the value of the bonds issued by the partnership
as a source of finance.
Debits Credits
1. Payments made 1. Value of bonds issued
Debits Credits
1. Share in partnership losses 1. Contributed capital
2. Share in partnership profit
Debits Credits
1. Amount of withdrawals made by
Benjie
Debits Credits
1. Share in partnership losses 1. Contributed capital
2. Share in partnership profit
Debits Credits
1. Amount of withdrawals made by
Emma
Debits Credits
1. Amount of withdrawals made by
Rhea
Debits Credits
1. Share in partnership losses 1. Contributed capital
2. Share in partnership profit
Partners Equity
Net Worth
Debits Credits
1. Amount of withdrawals made by
Jerelyn
Debits Credits
1. Share in partnership losses 1. Contributed capital
2. Share in partnership profit
Debits Credits
1. Amount of withdrawals made by
Jethro
3150 Income Summary
Partners Equity
Net Worth
Account 3150 is established to record revenues and expenses to get the profit or loss
and the amount of taxes payable.
Debits Credits
1. Expenses of the partnership for 1. Revenues of the partnership for
the period end the period end
2. Distribution of profit to 2. Losses shared by the partners
partners accounts
4000 REVENUES
4100 Sales
Revenues
Account 4100 is established to record the retail sales of merchandise sold to retail and
wholesale customers at the outlet.
Debits Credits
1. Closed to income summary 1. Actual selling price of merchandise
sold over the counter to retail and
wholesale customers
Account 4110 is established to record the discounts given to customers based on the
credit term of 2/10, n/30.
Debits Credits
1. Customers pay within ten days 1. Closed to income summary
from the purchase date.
Account 4120 is established to record the return of defective merchandise and those
that do not meet the product description of the customers within one day from the date
of purchase.
Debits Credits
1. Customers return the defective 1. Closed to income summary
merchandise.
Debits Credits
1. Cost of every merchandise sold. 1. Closed to income summary
6000 EXPENSES
6100 Insurance Expense
Expenses
Debits Credits
1. The amount of insurance 1. Closed to income summary
expense paid. 2. Cost of unexpired insurance.
2. Cost of expired insurance.
6110 Depreciation Expense-Building
Expenses
Account 6110 established to record the monthly provision to depreciate the building
used in selling the merchandise.
Debits Credits
1. Monthly provision for depreciation 1. Closed to income summary
of the building
Account 6120 established to record the monthly provision to depreciate the delivery van
used in selling the merchandise.
Debits Credits
1. Monthly provision for depreciation 1. Closed to income summary
of the delivery van.
Account 6130 established to record the monthly provision to depreciate the equipment
used in the office.
Debits Credits
1. Monthly provision for depreciation 1. Closed to income summary
of the office equipment.
Debits Credits
1. Monthly payment for rent. 1. Closed to income summary
Account 6150 established to record the cost of supplies paid and allocate the unused
portion.
Debits Credits
1. Cost of supplies paid. 1. Closed to income summary
2. Cost of supplies used. 2. Cost of supplies not
consumed at the end of the
period.
Debits Credits
1. Income tax paid 1. Closed to income summary
Account 6180 established to record the monthly amount paid or payable for water,
electricity, fuel and etc.
Debits Credits
1. Cost of water, electricity, fuel, etc. 1. Closed to income summary
Account 6180 established to record the miscellaneous expenses incurred by the outlet
such as employee snacks, minor repairs and replacements, etc.
Debits Credits
2. Cost of miscellaneous expense 2. Closed to income summary
BERJJ Jeans and Shirts
REPORTS
Worksheet
1. Unadjusted Trial Balance
2. Adjustments
3. Adjusted Trial Balance
4. Income Statement
5. Balance Sheet
Income Statement
Statement of Financial Position
Statement of Changes in Partners Equity
Statement of Cash Flows
Notes to Financial Statements
BERJJ Jeans and Shirts
Processes and Policies
Normal Sale:
The customer will inquire the saleslady assigned in the area
regarding her order. Once the customer has decided what to
order, s/he will go to the cashier with the goods to be purchased.
The cashier will scan the items and once the customer has paid,
s/he will issue an official receipt to the customer.
In case that the customer buys goods by-bulk, s/he is
allowed a trade discount of 2% of the selling price and an
additional 2% discount if the customer pays within 10 days from
the date of purchase, if the purchase was on credit.
Sales Returns:
The customer is allowed to return the goods purchased
within 1 day within the date of purchase provided that: (1) the
goods are in good condition, (2) the tags are still attached, and (3)
the customer still has the receipt. If possible, the goods returned
should be given to the saleslady assigned to the goods for
confirmation before the cashier refunds the customer as assisted
by the aforementioned saleslady.
Purchases:
The purchasing agent will decide when to reorder the goods
using the digital stock card system. Said system will be
programmed to notify the agent when one type of stock is nearing
its reorder point which is 30% of the stock.
When the need for reorder is confirmed, the purchasing
agent will fill up a disbursement voucher to be approved by the
manager. Once approved, the purchasing agent will go to the
cashier to confirm if the fund deposited in the bank is sufficient. If
sufficient, the cashier will countersign the check to be approved
by the manager. If it is not sufficient, then the voucher may be
kept by the cashier until the fund will be sufficient or it may be
cancelled if decided.
Arrival of Goods:
Once the goods ordered have arrived, the purchasing agent
will fill up a receiving form made in duplicate to be signed by the
deliverer after the goods have been physically counted by the
purchasing agent in the presence of the bookkeeper. One copy of
the receiving form is sent to the bookkeeper and the other is given
to the deliverer.
CASH
Cash Receipts:
All cash receipts will be counted by the cashier in the
presence of the manager and should be equal to the sales
record for the day. The cashier then replenishes the petty
cash fund using the cash receipts when the petty cash fund
remaining is P200.00 or lesser, the remaining of which is to
be deposited to the local bank.
Cash Disbursement:
Cash disbursements are divided into two categories, Small
Expenses and Big Expenses.
Small Expenses are expenses amounting to P1,000.00 and
below. These expenses are covered by the Petty Cash Fund. When
such expense is to be incurred, the purchasing agent will go to the
cashier and fills up the petty cash voucher. The cashier will then
confirm if there is a sufficient fund and countersign the voucher to
be approved by the manager. Upon approval, the cashier will
release the appropriate amount to the purchasing agent. When
the purchase is finished, the official receipt of purchase should be
given to the cashier.
Big Expenses are expenses amounting to more than
P1,000.00 and thee expenses are paid using checks. When such
expense is to be incurred, the purchasing agent will go to the
cashier and fills up the disbursement voucher. The cashier will
then confirm if there is a sufficient fund and countersign the
voucher to be approved by the manager. Upon approval, the
cashier will fill up a check according to the disbursement voucher.
When the purchase is finished, the official receipt of purchase
should be given to the cashier.
PAYROLL
Salaries are distributed to the employees in a semi-monthly
basis. The cashier and the bookkeeper review the DTR of the
employees and fill up disbursement voucher detailing the salaries
of each of the employees. The disbursement voucher is then sent
to the manager to be approved and upon approval, a check is
filled in accordance to the details of the disbursement voucher
made by the cashier and signed by the manager. These checks are
finally distributed to the employees to be encashed in the local
bank or credited directly to their accounts.
BERJJ Jeans and Shirts
Supporting Documents
Disbursement Voucher
- A Disbursement Voucher is a form used to have a check made to
pay an individual or an organization for merchandise sold or
services rendered.
Daily Time Record
- A DTR is a form used by
employees to record
their respective time ins
and outs in their work.
The bookkeeper and
cashier reviews the
DTRs so that they can
properly measure the
salaries of the
employees.
Payroll Form
- Payroll forms also known as payroll reports are a means of
accruing and organizing accounting information about a
business' employees. These reports typically include
comprehensive details of payroll transactions by quarter, but
may be generated for longer or shorter time periods depending
on the needs of the company.
Petty Cash Voucher
- A petty cash voucher is usually a small form that is used to
document a disbursement (payment) from a petty cash fund.
Petty cash vouchers are also referred to as petty cash receipts
and can be purchased from office supply stores.
Purchase Order
Form
- A purchase
order
(PO) is a