Analysis of BEIJING Company accounts disclosed changes in the following balances for 2021: Cash, P598,000 increase Accounts receivable, P1,125,000 decrease Inventory, P1,000,000 increase Equipment (net), P710,000 increase Accounts payable, P395,000 decrease BEIJING sold 115,000 shares of its P5 par ordinary shares at P8 each and received cash in full. Dividends of P195,000 were paid in cash during the year, Lastly, equipment of P319,000 was donated by a shareholder during the year. How much is the profit/(loss) of BEIJING Company for the year?

FINANCIAL ACCOUNTING
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ISBN:9781259964947
Author:Libby
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Chapter1: Financial Statements And Business Decisions
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Analysis of BEIJING Company accounts disclosed changes in the following balances for 2021:
Cash, P598,000 increase
Accounts receivable, P1,125,000 decrease
Inventory, P1,000,000 increase
Equipment (net), P710,000 increase
Accounts payable, P395.000 decrease
BEIJING sold 115,000 shares of its P5 par ordinary shares at P8 each and received cash in full. Dividends of P195,000 were paid in cash
during the year, Lastly, equipment of P319,000 was donated by a shareholder during the year.
How much is the profit/(loss) of BEIJING Company for the year?
(Note: If your answer is a profit, indicate a positive amount. If your answer is a loss, indicate a negative amount)
Transcribed Image Text:Analysis of BEIJING Company accounts disclosed changes in the following balances for 2021: Cash, P598,000 increase Accounts receivable, P1,125,000 decrease Inventory, P1,000,000 increase Equipment (net), P710,000 increase Accounts payable, P395.000 decrease BEIJING sold 115,000 shares of its P5 par ordinary shares at P8 each and received cash in full. Dividends of P195,000 were paid in cash during the year, Lastly, equipment of P319,000 was donated by a shareholder during the year. How much is the profit/(loss) of BEIJING Company for the year? (Note: If your answer is a profit, indicate a positive amount. If your answer is a loss, indicate a negative amount)
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