University of the Cordilleras
Senior High School- Integrated School
Accountancy, Business and Management
FUNDAMENTALS OF ACCOUNTANCY, BUSINESS AND MANAGEMENT 2
COMPREHENSIVE TASK
I. This comprehensive task shall be the source of your scores for the following:
1. Written Activity 4;
2. Performance Task (50%); and
3. Performance Evaluation (10%)
II. Tasks/ instructions
The following are the general tasks/ instructions that the students are required to accomplish
within the given time:
1. Create a group of 10 members from your class/ section with whom you are going to work
as Junior Accountants;
2. Submit the final list of groups to Sir JP via email (Only the representative of the class
will send an email to Sir JP. Do this until October 18, 2020, Sunday):
[email protected] ;
3. You were assigned to prepare the complete set of Financial Statements of a
“Merchandising Business” owned by a “Sole Proprietor” for the year ended December
31, 2019;
4. At the same time, the client asked for your expert opinion regarding proper analyses and
interpretations of the financial statements;
5. The client started business on January 1, 2019.
The following are the specific tasks/ instructions that the students are required to accomplish
within the given time:
6. Formulate 50 business transactions during the accounting year 2019;
7. Make sure that the business transactions will cover:
a. Investment (by the owner) transactions (maximum of 4 transactions; shall include
the initial investment and additional investments by the sole proprietor);
b. Drawing transactions (maximum of 2 transactions);
c. Purchase transactions (maximum of 9 transactions; shall include the following
accounts: Purchases, purchase returns and allowances; purchase discounts; and
freight-in; a portion of the purchases shall remain unpaid to be recorded either as
accounts payable or notes payable);
d. Sale transactions (maximum of 15 transactions; shall include the following
accounts: Sales; sales returns and allowances; and sales discounts; a portion of the
sales shall remain uncollected to be recorded either as accounts receivable or notes
receivable);
e. Expense transactions, except depreciation expense (maximum of 10 transactions;
shall include paid and unpaid expenses);
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f. Loan transactions (maximum of 5 transactions; shall include short-term and long-
term loans);
g. Acquisition of Fixed Asset (maximum of 2 transactions);
h. Acquisition of Supplies (maximum of 2 transactions); and
i. Disposal of Fixed Asset (maximum of 1 transaction).
Note: The students shall use the proper accounts in formulating the business transactions for
purposes of proper journalizing.
8. Prepare the Journal Entries of the business transactions;
9. Prepare the Ledger of the Accounts;
10. Prepare the Unadjusted Trial Balance for the Business;
11. Prepare the Adjusted Trial Balance of the business with the following adjustments:
a. Adjustment for supplies expense;
b. Adjustment for depreciation expense; and
c. Adjustment for Merchandise Inventory, end (Use Periodic Inventory Method, thus,
setup the amount of Merchandise Inventory, end, as per physical count.
12. Prepare the following Financial Statements:
a. Income Statement (The operations should result to a net income);
b. Statement of Changes in Owner’s Equity;
c. Statement of Financial Position; and
d. Statement of Cash Flows (This is the source of the score for written activity 4);
13. Prepare your analyses and interpretations on the (this may be done after discussing
Analysis and Interpretation of Financial Statements):
a. Liquidity of the business;
b. Solvency of the business; and
c. Efficiency of the operations of the business.
14. Prepare a brief summary of the tasks made by each member (10% performance
evaluation);
15. Output specifications:
a. The output must consist the following parts:
i. Business Transactions;
ii. Journal Entries (JEs);
iii. Ledgers;
iv. Unadjusted Trial Balance;
v. Adjusted Trial Balance (With JEs for adjustments);
vi. Financial Statements; and
vii. Interpretations on the Financial Statements (With computations)
b. The students are encouraged to use their computers/laptops to take advantage of their
word and excel processing applications in preparing the Financial Statements;
c. The students may use any word formatting (fonts), provided the final output is
presentable;
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d. The final output must be in a PDF File; and
e. The output shall be submitted within the time specified in canvas;
16. Should there be questions on this activity, raise them in the group chat of the class; and
17. Final Note the students: This activity is intended to make you master the basic topics on
accounting. Each group is consisting of 10 members, thus, there is no reason for you to
not accomplish the task within the given time if you all work and collaborate.
Prepared by:
JOHN PAUL LAGAO
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