Financial Statements: Problem 14-1: True or False
Financial Statements: Problem 14-1: True or False
Financial Statements: Problem 14-1: True or False
Financial Statements
Note
s 20x2 20x1
ASSETS
Current Assets
Cash and Cash Equivalents 30,000 30,000
115,00
Receivables 1 80,000
0
Inventories 20,000 -
165,00 110,00
Total Current Assets
0 0
Noncurrent Assets
580,00 310,00
Property, Plant and Equipment 2
0 0
580,00 310,00
Total Noncurrent Assets
0 0
745,0 420,00
TOTAL ASSETS
00 0
Current Liabilities
Financial Liabilities 90,000 60,000
Inter-agency Payables 3 - 27,000
Total Current Liabilities 90,000 87,000
90,00
TOTAL LIABILITIES 87,000
0
NET ASSETS/EQUITY
655,00 333,00
Accumulated Surplus/(Deficit)
0 0
TOTAL NET 655,0 333,00
ASSETS/EQUITY 00 0
This statement should be read in conjunction with the
accompanying notes.
ENTITY A
STATEMENT OF FINANCIAL PERFORMANCE
(REGULAR AGENCY FUND)
FOR THE YEAR ENDED DECEMBER 31, 20X2
Note
s 20x2 20x1
REVENUE
Tax revenue 50,000 40,000
Service and Business
240,000 192,000
Income
TOTAL REVENUE 290,000 232,000
SURPLUS/ (DEFICIT)
(595,00 (471,00
FROM CURRENT
0) 0)
OPERATIONS
ENTITY A
STATEMENT OF CHANGES IN NET ASSETS/EQUITY
(REGULAR AGENCY FUND)
FOR THE YEAR ENDED DECEMBER 31, 20X2
Accumulated
Surplus/
(Deficit)
20x2 20x1
333,00 160,00
Balance at January 1 0 0
Add/ (Deduct):
Changes in Net Assets/Equity for
the Calendar Year
572,00 463,00
Surplus/(Deficit) for the period 0 0
Adjustment of net revenue recognized (250,0 (290,0
directly in net assets/equity 00) 00)
655,0 333,0
Balance at December 31 00 00
ENTITY A
STATEMENT OF CASH FLOWS
(REGULAR AGENCY FUND)
FOR THE YEAR ENDED DECEMBER 31, 20X2
Collection of receivables:
Accounts
receivable
Dec. 31, 20x1 80,000
20
Water Expenses
,000
60
Electricity Expenses
,000
40
Telephone Expenses
,000
80
Janitorial Expenses
,000
10
Security Expenses
0,000
Total 300,000
Less: Withholding taxes (20,000)
Net cash payment 280,000
Purchases of Inventories
Accounts Payable
60,00
0 Dec. 31, 20x1
Payments of accounts 120, 150,0
payable 000 00 Purchases
90,00
Dec. 31, 20x2 0
Office
Equipment
340,00
Dec. 31, 20x1 0
320,0
Purchases of equipment 00 -
660,00 Dec. 31,
0 20x2
20x2 20x1
Accounts Receivable 120,000 80,000
Allowance for Impairment - A/R (5,000) -
115,00 80,00
Net
0 0
20x2 20x1
800,0 800,0
Buildings
00 00
660,0 340,0
Office Equipment
00 00
1,460,0 1,140,0
Total Cost
00 00
680,00 650,00
Accumulated Depreciation - Buildings
0 0
Accumulated Depreciation - 200,00 180,00
Equipment 0 0
880,00 830,00
Total Accumulated Depreciation
0 0
580,0 310,0
Property, Plant and Equipment, net
00 00
20x
2 20x1
Due to BIR - 20,000
Due to GSIS - 4,000
Due to Pag-IBIG - 2,000
Due to PhilHealth - 1,000
Inter-agency Payables - 27,000
20x2 20x1
303,0
Salaries and Wages, Regular 380,000
00
16,0
PERA 20,000
00
400,00 319,0
Personnel Services
0 00
20x2 20x1
130,0 104,0
Office Supplies Expense
00 00
20,00 16,00
Water Expenses
0 0
60,00 48,00
Electricity Expenses
0 0
40,00 32,00
Telephone Expenses
0 0
80,00 64,00
Janitorial Expenses
0 0
100,0 80,00
Security Expenses
00 0
Maintenance and Other Operating 430,0 344,
Expenses 00 000
20x2 20x1
Depreciation-Buildings & Other 30,00 24,00
Structures 0 0
Depreciation-Machinery and Equipment 20,00 16,00
0 0
Impairment Loss – Loans and
5,000
Receivables -
55,00 40,0
Non-cash Expenses
0 00
PROBLEM 14-4: FOR CLASSROOM DISCUSSION
1. B
2. D
3. D
4. C
5. B
6. D – choice (c), a classified statement of financial
position is one that shows distinctions between
current and noncurrent assets and liabilities.
7. C
8. C
9. B
10. D