
FINANCIAL ACCOUNTING
10th Edition
ISBN: 9781259964947
Author: Libby
Publisher: MCG
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create a ten column

Transcribed Image Text:Chaner 5- Completion of the Accounting Cycle
PROBLEMS
5-1. Villar Realty had the following trial balance for June 30, 2011 as followS.
VILLAR REALTY
Trial Balance
June 30, 2011
Debit
Credit
650,000
100,000
108,000
28,800
9,000
90,000
Cash
Accounts Receivable
Prepaid Rent
Prepaid Insurance on Automobile
Supplies on Hand
Office Equipment
Accumulated Depreciation Office
Equip.
Automobile
21,600
240,000
Accumulated Depreciation-
Automobile
Accounts Payable
Notes Payable
Unearned Management Fees
M. Villar, Capital
M. Villar, Drawing
Sales Commissions Revenue
60,000
10,800
150,000
46,800
1,337,400
705,000
900,000
72,000
Management Service Revenue
Salaries Expense
Advertising Expense
Automobile Expense
Miscellaneous Expense
Total
599,400
9,000
53,400
6,000
P 2,598,600 P 2,598,600

Transcribed Image Text:The trial balance of VILLAR REALTY for June 30, 2019
VILLAR REALTY
Trial Balance
June 30, 2019
DEBIT
P 650,000
100,000
108,000
28,800
9,000
90,000
CREDIT
Cash
Accounts Receivable
Prepaid Rent
Prepaid insurance on Automobile
Supplies on Hand
Office Equipment
Accumulated Depreciation-Office Equipment
P21,600
Automobile
240,000
Accumulated Depreciation- Automobile
60,000
Accounts Payable
Notes Payable
Unearned Management Fees
M Villar, Capital
M Villar, drawing
10,800
150,000
46,800
1,337,400
705, 000
Sales commissions Revenue
900,000
Management Service Revenue
salaries Expense
Advertising Expense
Automobile Expense
72,000
599,400
9,000
53,400
50.000
22598,600 P2.598,600
Miscellaneous Expense
TOTAL
PREPARE a ten - column work sheet for the year ended June 30, 2019 using the following
Data for adjustments:
a. Insurance expense on automobile for the year is P14,400
b. Rent expense for the year is P72,000
C. Depreciation expense is: Office equipment, P10,800, automobile P43,000
d. Salaries incurred but unpaid as of June 30 amounts to P 9,990
e. Supplies on hand as of June 30 P 3,000
f. The unearned management fees were received and recorded on April 1, 2019 The
advance payment covered 6 month's management of an apartment building
E Accrued interest on notes payable, P15,000.
Prepare the following financial statements:
a. Income Statement
b. Balance sheet
c. Statement of awners equity
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