CHARLES MERCHANDISING FINANCIAL RECORDS FOR THE YEAR ENDED DECEMBER 31, 2021 AS FOLLOWS ALLOWANCE FOR BAD DEBTS ACCUMULATED DEP. EQUIPMENT ACCUMULATED. DEP. STORE COMPUTER ACCOUNTS PAYABLE ACCOUNTS RECEIVABLE BEGINNING INVENTORY CASH AND CASH EQUIVALENTS CHARLES, CAPITAL CHARLES, DRAWINGS DEPRECIATION-STORE COMPUTER DEPRECIATION EXPENSE ENDING INVENTORY' EQUIPMENT FUEL EXPENSE GROSS SALES INTEREST EXPENSE INTEREST INCOME NOTES PAYALE REQUIREMENT: 1. PREPARE STATEMENT OF COMPREHENSIVE INCOME 2. PREPARE STATEMENT OF FINANCIAL POSITION 43,817 63,987 36,789 738,304 876,354 245,890 6,053,842 3,876,123 254,672 12,908 32,876 989,760 176,432 23,789 4,567,836 3,674 5,487 234,775 OFFICE SUPPLIES OFFICE SUPPLIES EXPENSE PREPAID INSURANCE PROFESSIONAL FEES PURCHASE DISCOUNT PURCHASES RENT EXPENSE SALES DISCOUNT SALES RETURN AND ALLOWANCES STORE ADVERTISING STORE OFFICE SUPPLIES STORE SALARIES STORE COMPUTER TAXES TRANSPORTATION IN UNEARNED REVENUE MISCELLANEOUS EXPENSE 34,894 34,789 56,789 57,899 18,902 2,578,349 80,000 10,257 65,797 34,890 23,098 65,234 87,663 26,893 25,789 1,289,356 12,598

Problem 1: Below is the financial information for Justin Bieber's Merchandising company for the year 2020: Cash and Cash Equivalents Accounts Receivable Merchandise Inventory Machinery and Equipment Furnitures and Fixtures Total Assets 513,374 312,745 112,038 1,039,782 59,744 2,037,683 Suppose that the total current assets of the company for the year 2019 is P1,317,873 and the total fixed asset for the same year is P687,369 plus there is a prepaid expenses for 2020 of P35,000 for insurance. Compute for the financial leverage ratio assuming that the value of the total liabilities for the company is P856,971.

c. On 9/12 Year 7 $2,000 of ACCOUNTS PAYABLE is paid after the discount period. Phrase 1st: 2nd: Phrase 1st: Account 2nd: Accounts Account Category AL SER E contra AL SER E contra + Accounts Debit Affect d. On 9/28 Year 7 INVENTORY originally purchased for $4,000 on 9/1 Year 7 and was paid for on 9/10 Year 7 is returned by the purchaser and a debit memorandum (a debit to A/P) is received from the seller. [Hint: the amount of cash involved in this transaction must take the 2% discount into account.] Debit + Category AL SE RE contra AL SE RE contra + - + Affect Dr. or Cr. Dr Cr Dr Cr Credit Dr. or Cr. Credit Dr Cr Dr Cr

Multiple-Step Income Statement and Report Form of Balance Sheet The following selected accounts and their current balances appear in the ledger of Kanpur Co. for the fiscal year ended June 30, 2019: Cash $120,200   Gerri Faber, Drawing $72,000 Accounts Receivable 326,200   Sales 4,344,900 Merchandise Inventory 365,300   Cost of Merchandise Sold 2,546,100 Estimated Returns Inventory 14,450   Sales Salaries Expense 716,000 Office Supplies 11,300   Advertising Expense 196,900 Prepaid Insurance 8,800   Depreciation Expense—Store Equipment 38,400 Office Equipment 264,500   Miscellaneous Selling Expense 16,800 Accumulated Depreciation—Office Equipment 179,700   Office Salaries Expense 390,900 Store Equipment 825,600   Rent Expense 57,700 Accumulated Depreciation—Store Equipment 264,500   Insurance Expense 17,900 Accounts Payable 183,000   Depreciation Expense—Office Equipment 28,900 Customer Refunds Payable 28,900   Office Supplies Expense 10,600 Salaries Payable…