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    Comprehensive Problem2

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    David Con Rivero
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    Comprehensive Problem2

    Uploaded by

    David Con Rivero
    91 views2 pages
    No Answer2

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    © © All Rights Reserved

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    91 views2 pages

    Comprehensive Problem2

    Uploaded by

    David Con Rivero
    No Answer2

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
    of 2

    COMPREHENSIVE PROBLEM

    Dr. Imelda Wakwak, upon completing a residency program at Wakawaka Medical Center,
    established a medical practice in San Rafael, Tigaon. During September 2014, the first month of
    operations, the following transactions occurred:

    Sept. 1 Dr. Wakwak transferred P480,000 from her personal checking account to a bank
    account , Dr. Imelda Wakwak, M.D.
    1 A medicalclinic,P1,500,000 and land P350,000 were acquired by paying P150,000 in
    cash and issuing a 5-year 20% note payable (interest is payable every 6 months) for
    the balance.
    1 Acquired medical equipment costing P460, 000 and medical supplies amounting to
    P74, 000 by paying P62, 000 cash and issuing a 24% note payable, maturing in six
    months, for the balance.
    2 Acquired all-in-one insurance premium for a year, P36, 000.
    4 Received cash from patients amounting to P224, 650.
    7 Bought medical supplies on account from San Rafael Supply, P19, 200.
    10 Paid salaries of nurses and office staff, P55, 600.
    12 Received P98, 640 from the Tigaon Experimental Drug Center for research to be
    conducted by Manlangit over the next three months.
    18 Billed patients P353, 600 for services rendered.
    21 Paid P15, 080 for repairs to the medical equipment.
    23 Paid the telephone bill, P6, 500.
    24 Bought medical equipment on account from Dr. Quipot, P49, 700.
    25 Collected P233, 000 from patients billed on the 18th.
    27 Paid P15, 700 on account to San Rafael Supply.
    30 Withdrew P200, 000 in cash from the medical practice.

    Required:
    1. Journalize the transactions and post the entries to the ledger using the following account
    titles and account numbers: (Use proper journal and ledger)

    110 Cash 310 Manlangit, Capital


    120 Accounts Receivable 320 Manlangit, Withdrawals
    130 Medical Supplies 330 Income Summary
    140 Prepaid Insurance 410 Medical Revenues
    150 Land 420 Research Revenues
    160 Medical Building 510 Salaries Expense
    165 Accumulated Depreciation-Medical 520 Insurance Expense
    Building
    170 Medical Equipment 530 Repairs Expense
    175 Accumulated Depreciation-Medical 540 Supplies Expense
    Equipment
    210 24% Note Payable 550 Association Dues Expense
    220 20% Note Payable 560 Telephone Expense
    230 Accounts Payable 570 Depreciation Expense-Building
    240 Salaries Payable 580 Depreciation Expense-Equipment
    250 Interest Payable 590 Interest Expense
    260 Unearned Research Revenues

    2. Prepare a trial balance and a worksheet and record the following adjustments:
    a. Insurance for 1 month has expired.
    b. Medical supplies on hand at month-end amounted to P27, 500.
    c. Depreciation on the medical building and medical equipment are P6, 000 and P8, 600,
    respectively.
    d. Unearned research revenues in the amount of P33, 000 have been earned.
    e. Salaries of P60, 900 have accrued.
    f. Interest on the 20% and 24% Note Payable are P23, 000 and P9, 600, respectively.

    3. Complete the worksheet.


    4. Prepare the following financial statements:
    a. Statement of Comprehensive Income (Income Statement)
    b. Statement of Changes in Owners Equity
    c. Statement of Financial Position (Balance Sheet)
    5. Journalize and post adjusting and closing entries.
    6. Prepare a Post-Closing Trial Balance.
    7. Journalize and Post the reversing entries

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