Dr. Buffet maintains the accounting records of its medical clinic on a cash basis. During 2021, Dr. D Buffet collected P1,234,500 from his patients and paid P987,600 in expenses. On December 31, 2020 and December 31, 2021, he had the following account balances. Dec. 31, 2020 Dec. 31, 2021 P43,210 Professional Fees Receivable Unearned Professional Fees P54,320 26,200 18,200 6,400 What is the medical clinic's profit for 2021 under the accrual basis? 29,000 Accrued Expenses Prepaid Expenses 23,500 5,120

FINANCIAL ACCOUNTING
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Author:Libby
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Chapter1: Financial Statements And Business Decisions
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Dr. Buffet maintains the accounting records of its medical clinic on a cash basis. During 2021,
Dr. D Buffet collected P1,234,500 from his patients and paid P987,600 in expenses. On December
31, 2020 and December 31, 2021, he had the following account balances.
Dec. 31, 2020
P54,320
26,200
18,200
6,400
What is the medical clinic's profit for 2021 under the accrual basis?
Dec. 31, 2021
P43,210
29,000
23,500
Professional Fees Receivable
Unearned Professional Fees
Accrued Expenses
Prepaid Expenses
5,120
Transcribed Image Text:Dr. Buffet maintains the accounting records of its medical clinic on a cash basis. During 2021, Dr. D Buffet collected P1,234,500 from his patients and paid P987,600 in expenses. On December 31, 2020 and December 31, 2021, he had the following account balances. Dec. 31, 2020 P54,320 26,200 18,200 6,400 What is the medical clinic's profit for 2021 under the accrual basis? Dec. 31, 2021 P43,210 29,000 23,500 Professional Fees Receivable Unearned Professional Fees Accrued Expenses Prepaid Expenses 5,120
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