TEST I.

TRUE OR FALSE
1 TRUE
2 FALSE
3 TRUE
4 TRUE
5 FALSE
6 TRUE
7 FALSE
8 FALSE
9 FALSE
10 TRUE
11 TRUE
12 FALSE
13 TRUE
14 TRUE
15 TRUE
16 TRUE
17 TRUE
18 TRUE
19 FALSE
20 TRUE
21 TRUE
22 TRUE
23 TRUE
24 TRUE
25 FALSE
26 TRUE
27 FALSE
28 FALSE
29 FALSE
30 FALSE
31 TRUE
32 TRUE
33 TRUE
34 TRUE
35 FALSE
36 TRUE
37 TRUE
38 TRUE
39 FALSE
40 FALSE
41 TRUE
42 FALSE
43 TRUE
44 TRUE
45 FALSE
46 FALSE
47 TRUE
48 FALSE
49 FALSE
50 TRUE
51 FALSE
52 FALSE
53 TRUE
54 FALSE
55 TRUE
56 FALSE
57 TRUE
58 FALSE
59 FALSE
60 FALSE
61 FALSE
62 TRUE
63 TRUE
64 FALSE
65 TRUE
66 FALSE
67 TRUE
68 FALSE
69 FALSE
70 TRUE
71 TRUE
72 FALSE
73 FALSE
74 TRUE
75 TRUE
76 FALSE
77 TRUE
78 TRUE
79 TRUE
80 TRUE
 TEST II. STRAIGHT PROBLEM SOLVING

1 Cash and Cash Equivalents (Php 125,000.00)

Investment in Equity Secturities ( 332,540.00)
Inventory ( 58,850.00)
Current Assets (Php 516,390.00)

2 Current Assets (Php 516,390.00)

Land ( 1,582,000.00)
Office Building ( 4,136,500.00)
Factory Building ( 5,150,250.00)
Total Assets (Php 11,385,140.00)

3 Mortgage Payable (Php 550,000.00)

4 Total Assets (Php 11,385,140.00)

Total Liabilities
Accounts Payable (Php 985,000.00)
Notes Payable ( 20,500.00)
Advances from Customers ( 20,000.00)
Mortgage Payable ( 550,000.00) ( (1,575,500.00)
Owner's Equity (Php 9,809,640.00)

5 Cash (Php 2,000,000.00)

Supplies ( 500,000.00)
Apartment ( 5,000,000.00)
Assets, end (Php 7,500,000.00)
Equity, end ( 11,250,000.00)
Profit ( (1,000,000.00) ( 10,250,000.00)
Additional Investment (Php 2,750,000.00)

6 Cash (Php 2,000,000.00)

Supplies ( 500,000.00)
Apartment ( 5,000,000.00)
Assets, end (Php 7,500,000.00)
Equity, end ( 11,250,000.00)
Loss ( 250,000.00) ( 11,500,000.00)
Additional Investment (Php 4,000,000.00)

7 Cash (Php 2,000,000.00)

Supplies ( 500,000.00)
Apartment ( 5,000,000.00)
 Assets, end (Php 7,500,000.00)
Equity, end ( (11,250,000.00)
Net Income (Php 3,750,000.00)

8 Cash (Php 2,000,000.00)

Supplies ( 500,000.00)
Apartment ( 5,000,000.00)
Assets, end (Php 7,500,000.00)
Equity, end ( (11,250,000.00)
Liability (Php 3,750,000.00)

9 Prepaid Rent (Php 4,350,000.00)

Years ( 5.00)
Rent Expense (Php 870,000.00)

10 Prepaid Insurance, beg (Php 350,000.00)

Total Plan ( 20.50)
Total Plan ( 24.00)
Precentage Consumed ( 0.85)
Base ( 350,000.00) ( (297,500.00)
Prepaid Insurance, end (Php 52,500.00)

11 Interest Payable (Php -  )

12 Interest Income (Php -  )

13 Months Consumed ( 8.50)

Total Plan ( 24.00)
Percentage Consumed ( 0.35)
Base ( 350,000.00)
Insurance Expense (Php 122,500.00)

14 Current Liabilities (Php -  )

15 Total amount to reverse (Php -  )

16 Net Sales (Php 150,000.00)

Accounts Receivable ( 400,000.00)
Receivable Turnover 0.38

17 Total Expenses (Php 100,000.00)

Percentage ( 20.00)
Cost of Goods Sold ( 20,000.00)
 Ending Inventory ( 100,000.00)
Purchases ( 120,000.00)
Accounts Payable ( 300,000.00)
Payable Turnover 0.40

18 Cash (Php 250,000.00)

Receivables ( 400,000.00)
Current Assets, net of Inventory (Php 650,000.00)
Payables ( 300,000.00)
Payable Turnover 2.17

19 Accounts Payable, end (Php 1,231,400.00)

Accounts Payable, beg ( (300,500.00)
Purchases on Account (Php 930,900.00)
Cash Purchase ( 23,500.00)
Total Purchases (Php 954,400.00)

Inventory, beg (Php 57,000.00)

Purchases ( 954,400.00)
Cost of goods available for sale (Php 1,011,400.00)

20 Accounts Receivable, end (Php 2,300,500.00)

Accounts Receivable, beg ( (600,000.00)
Sales on Account (Php 1,700,500.00)
Rate ( 0.80)
Total Sales (Php 2,125,625.00)

Inventory, beg (Php 57,000.00)

Purchases ( 954,400.00)
Cost of goods available for sale (Php 1,011,400.00)
Inventory, end ( (30,000.00)
Cost of goods sold (Php 981,400.00)

Total Sales (Php 2,125,625.00)

Cost of goods sold ( (981,400.00)
Gross Profit (Php 1,144,225.00)

21 Accounts Payable, end (Php 1,231,400.00)

Accounts Payable, beg ( (300,500.00)
Purchases on Account (Php 930,900.00)
Cash Purchase ( 23,500.00)
Total Purchases (Php 954,400.00)
Net of Vat Rate ( 0.88)
 Purchases, net of VAT (Php 839,872.00)

22 Purchases, gross of VAT (Php 954,400.00)

Purchases, net of VAT ( (839,872.00)
Total Input Tax (Php 114,528.00)

23 Sales, gross of VAT (Php 2,125,625.00)

VAT Rate ( 0.12)
Total Output Tax (Php 255,075.00)
Total Input Tax ( (114,528.00)
VAT-Payable (Php 140,547.00)

24 Gross Profit (Php 1,144,225.00)

Various Expenses ( (541,600.00)
Net Income, gross of VAT and Income Tax (Php 602,625.00)

25 Gross Profit (Php 930,900.00)

Sales ( 2,125,625.00)
Gross Profit Margin 0.44

26 Beginning Balance (Php 1,435,220.00)

Deposit in Transit ( 450,650.00)
Check 451 ( (300,000.00)
Auto-deduct Expense ( (541,500.00)
Balance (Php 1,044,370.00)
Interest Income ( 13,054.63)
Interest Withheld ( (3,916.39)
Ending Balance per Bank (Php 1,053,508.24)

27 Check 451 (Php 300,000.00)

Withheld Interest ( 3,916.39)
Expenses ( 541,500.00)
Outstanding Checks ( 145,200.00)
Total Disbursements (Php 990,616.39)

28 Deposit in Transit (Php 124,500.00)

Interest Income ( 13,054.63)
Total Receipts (Php 137,554.63)

29 Balance per Bank (Php 1,053,508.24)

Deposit in Transit ( 124,500.00)
Outstanding Checks ( (145,200.00)
Adjusted Cash Balance (Php 1,032,808.24)
30 Adjusted Cash Balance, December (Php 1,032,808.24)
Net Interest ( (9,138.24)
December Receipts ( (124,500.00)
December Disbursements, net of Interest ( 986,700.00)
Balance per Ledger, November (Php 1,885,870.00)