LEARNING ACTIVITIES

Name: ___________________________________________________ Score: ___________

Year and Section __________________ Date: ____________

PRACTICAL EXERCISE 1

From the partial worksheets of Mr. Quickie Repair Shop for the quarter ended June 30, 2020, prepare
the closing entries and the post-closing trial balance.

Mr. QUICKIE REPAIR SHOP

Worksheet
For the quarter ended June 30, 2020

Adjusted Income Balance Sheet

Trial Balance Statement
Debit Credit Debit Credit Debit Credit

Cash on Hand 25,000 25,000

Accounts Receivable 62,500 62,500
Estimated Uncollectible Account 3,125 3,125
Notes Receivable 17,500 17,500
Shop Equipment 75,000 75,000
Accumulated Depreciation - Shop Equipment 12,500 12,500
Furniture and Fixture 20,000 20,000
Accumulated Depreciation - Furniture and 14,500 14,500
Fixture
Accounts Payable 27,500 27,500
Notes Payable 30,000 30,000
Rosas, Capital 111,875 111,875
Rosas, Drawings 2,500 2,500
Repair Income 75,000 75,000
Salaries Expense 27,500 27,500
Rent Expense 20,000 20,000
Supplies Expense 7,500 7,500
Taxes and Licenses 5,250 5,250
Light and Water Expense 8,750 8,750
Tax Payable 1,500 1,500
Salaries Payable 7,500 7,500
Interest Expense 500 500
Interest Payable 500 500
Light and Water Payable 1,250 1,250
Supplies on Hand 2,500 2,500
Bad Debt Expense 1,250 1,250
Depreciation Expense 9,500 9,500
Interest Receivable 300 300
Interest Income 300 300
285,550 285,550 80,250 75,300 205,300 210,250
Net Loss 4,950 4,950
Total 80,250 80,250 210,250 210,250

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 PRACTICAL EXERCISE 2

The following accounts and their balances were taken from the books of Vales Mimeographing Services
as of December 31, 2020 end of the accounting period.

Cash on Hand P 5,000

Accounts Receivable 7,000
Allowance for Bad Debts P 300
Notes Receivable 200
Mimeographing Equipment 12,000
Accumulate Depreciation – Mimeo Equipment 1,200
Furniture and Fixture 5,000
Accumulated Depreciation – Furniture and Fixture 500
Accounts Payable 6,000
Notes Payable 1,000
Bunny, Capital 14,800
Bunny, Drawing 1,500
Mimeo Income 25,000
Salaries Expense 8,000
Rent Expense 3,000
Insurance Expense 1,000
Utilities Expense 300
Supplies Expense 4,000
Total P 48,800 P 48,800

Additional Information:

1. Unexpired insurance was P160.

2. The allowance for depreciation for furniture and fixture should be increased to P600.
3. The allowance for bad debts should be increased by 5% if the outstanding Accounts Receivable.
4. The note was received on Dec. 1 at the interest of 10% of a 60-day term

Answer for Journal

Dec 31 Prepaid Insurance 160.00

Insurance Expense 160.00

Depreciation Expense - Furniture & Fixture 100.00

Accumulated Depreciation- Furniture & Fixture 100.00

Bad Debts Expense 350.00

Allowance for Bad Debts 350.00

Interest Receivable 16.67

Interest Income 16.67

Required:

1. Prepare the Adjusting entries.

2. Prepare a 10-column worksheet

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 PRACTICAL EXERCISE 3

The trial balance of the Clean Laundry on June 30, 2020 end of the current fiscal year and the data
needed for year-end adjustment are presented below:

CLEAN LAUNDRY
Trial Balance
June 30, 2020

Cash on Hand P 33,000

Accounts Receivable 50,000
Allowance for Doubtful Accounts P 5,000
Notes Receivable 30,000
Unexpired Insurance 3,600
Laundry Equipment 90,000
Accumulated Depreciation – Laundry Equipment 9,000
Notes Payable 6,000
Carrie Clean, Capital 115,000
Carrie Clean, Drawing 6,000
Laundry Income 120,000
Salaries Expense 11,000
Laundry Supplies Expense 15,000
Taxes and Licenses 2,500
Light and Water Expense 7,000
Rent Expense 5,000
Interest Expense 1,900
Total P 255,000 P 255,000

Data for adjustments:

1. Laundry supplies on hand amount to P 3,000.

2. 15% of the outstanding accounts receivable are estimated to be uncollectible.
3. The estimated life of the laundry equipment is 10 years with no scrap value.
4. The unexpired insurance represents the annual premium paid on Feb. 1, 2020
5. Light and water expense unpaid on June 30 amounted to P 2,000.
6. Interested accrued on notes payable amounted to P 60.

Required:

1. Prepare a 10-column worksheet

2. Prepare the financial statements.

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 PRACTICAL EXERCISE 4

Presented below is the trial balance of Dr. Dale Lagman for the month of July 16, 2020

LAGMAN MEDICAL CLINIC

Trial Balance
July 31, 2020

Dr. Lagman, Capital P 49,500

Cash on Hand P 8,000
Accounts Receivable 6,000
Accounts Payable 4,000
Dr. Lagman, Drawing 2,000
Medical Income 25,000
Interest Income 200
Medical Equipment 50,000
Furniture and Fixtures 5,000
Prepaid Rent 4,000
Supplies on Hand 1,000
Interest Expense 300
Salaries Expense 4,000
Estimated Uncollectible Accounts 200
Notes Payable 2,000
Light and Water Expense 600
Total P 80,900 P 80,900

Additional Information:

1. Accrued salaries P4,000.

2. Supplies on hand P500.
3. 5% of the outstanding Accounts Receivable is uncollectible.
4. Prepaid rent of P4,000 was applied to month’s rent.
5. Accrued medical income P3,000
6. Light and water unpaid P300
7. 10/% depreciation is allowed on all fixed assets.

Required:

1. Prepare a 10-column worksheet. Arrange the accounts according to assets, liabilities, capital, income,
and expenses
2. Income Statement
3. Balance Sheet

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 PRACTICAL EXERCISE 5

The trial balance of Mabilis Repair Shop appears below the end of its calendar year:

MABILIS REPAIR SHOP

Trial Balance
December 31, 2020
Debit Credit

Cash on Hand P 10,000

Accounts Receivable 25,000
Estimated Uncollectible Accounts 750
Notes Receivable 7,000
Shop Equipment 30,000
Accumulated Depreciation – Shop Equipment 2,000
Furniture and Fixture 8,000
Accumulated Depreciation - Furniture and Fixture 5,00
Accounts Payable 11,000
Notes Payable 12,000
Leynes, Capital 44,750
Leynes, Drawing 1,000
Service Income 30,000
Salaries Expense 8,000
Rent Expense 8,000
Supplies Expense 4,000
Taxes and Licenses 1,500
Light and Water Expense 3,000
Total P 105,500 P 105,500

Additional Information:

1. Unpaid taxes, P600.

2. Accrued salaries, P3,000
3. Accrued interest on notes payable, P200.
4. Unpaid light and water, P500.
5. Supplies on hand, P1,000.
6. Bad debts expense is estimated to be 5% of Accounts Receivable.
7.

Required:

8. Prepare a 10-column worksheet. Arrange the accounts according to assets, liabilities, capital, income,
and expenses
9. Income Statement
10. Balance Sheet