On May 11, 2018, Doña Pura opens Pura Collection Services. On the transaction summary table below, indicate the effect of each transaction on each account. Put "+" to signify increase or "" to signify decrease. Indicate the amount of increase or decrease for each account. The first one is done for you. 44 99

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Owner's
Liabilities
Equity
Assets
Notes
Pura
Accounts
Capital
Payable
Supplies
Payable
Accounts
Transaction
Cash
Receivable
8. Paid
P12,000
worth of
onoh
personal
funds for
a Palawan
vacation
9. Made
personal
withdrawal,
P10,000
10. Hired office
secretary
with
monthly
salary of
P13,000
dhow
11. Collections
from various
clients
amounting
to P30,000
for services
rendered
12. Returned
P200 worth
of defective
supplies
bought
using cash
13. Invested
additional
cash,
P24,000
14. Full
collection of
account from
all clients,
P100,000
68
The Accounting Equation
Transcribed Image Text:Owner's Liabilities Equity Assets Notes Pura Accounts Capital Payable Supplies Payable Accounts Transaction Cash Receivable 8. Paid P12,000 worth of onoh personal funds for a Palawan vacation 9. Made personal withdrawal, P10,000 10. Hired office secretary with monthly salary of P13,000 dhow 11. Collections from various clients amounting to P30,000 for services rendered 12. Returned P200 worth of defective supplies bought using cash 13. Invested additional cash, P24,000 14. Full collection of account from all clients, P100,000 68 The Accounting Equation
DRILL 6
Give the effect of the following transactions on the accounting equation:
On May 11, 2018, Doña Pura opens Pura Collection Services. On the transaction summary
table below, indicate the effect of each transaction on each account. Put “+" to signify
increase or "" to signify decrease. Indicate the amount of increase or decrease for each
account. The first one is done for you.
Owner's
Assets
Liabilities
Equity
Transaction
Accounts
Accounts
Notes
Pura
Cash
Supplies
Payable
Capital
Receivable
Payable
1. Doña Pura
invested
P60,000
P60,000
P 60,000
in the
business.
2. Bought
P1,500
worth of
supplies for
cash
3.
Borrowed
P50,000
from
Doña Tekla
4. Cash
services
rendered
to Ms. Ko,
P25,000
5. Issued a
note for the
amount
borrowed
from
Doña Tekla
6. Services
rendered
to client on
account,
P5,000
7. Settled the
note with
Doña Tekla
67
Effects of Transactions on the Accounting Equation
Transcribed Image Text:DRILL 6 Give the effect of the following transactions on the accounting equation: On May 11, 2018, Doña Pura opens Pura Collection Services. On the transaction summary table below, indicate the effect of each transaction on each account. Put “+" to signify increase or "" to signify decrease. Indicate the amount of increase or decrease for each account. The first one is done for you. Owner's Assets Liabilities Equity Transaction Accounts Accounts Notes Pura Cash Supplies Payable Capital Receivable Payable 1. Doña Pura invested P60,000 P60,000 P 60,000 in the business. 2. Bought P1,500 worth of supplies for cash 3. Borrowed P50,000 from Doña Tekla 4. Cash services rendered to Ms. Ko, P25,000 5. Issued a note for the amount borrowed from Doña Tekla 6. Services rendered to client on account, P5,000 7. Settled the note with Doña Tekla 67 Effects of Transactions on the Accounting Equation
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