Lesson‌‌‌Topic:‌‌S

‌ TATEMENT‌‌‌OF‌‌‌FINANCIAL‌‌‌POSITION

Name:‌Althea‌P.‌Geronimo Date:‌09-03-20

Student‌Number:19-20-0203 Time:‌7:00‌p.m

Instructions:‌For‌numbers‌1-4,‌show‌all‌computations‌and‌enclose‌in‌a‌box‌the‌final‌answer.‌
Write‌your‌answer‌in‌pages‌1‌and‌2.‌For‌number‌5,‌prepare‌the‌statement‌of‌financial‌position‌in
good‌form‌(with‌heading)‌in‌pages‌3‌and‌4.‌

1.If‌assets‌are‌Php‌17,000‌and‌owner’s‌equity‌is‌Php‌10,000,‌liabilities‌are‌₱7,000.

SOLUTION:‌‌‌‌‌‌‌‌‌‌‌‌
‌ Assets‌=‌P17,000 ‌‌‌‌‌‌‌‌‌L=A‌-‌OE
‌‌‌‌‌‌‌‌‌‌‌‌OE‌‌=‌P10,000‌ ‌‌‌‌‌‌‌‌‌L=‌17,000‌-‌10,000
‌‌‌‌‌‌‌‌‌‌‌‌Liabilities‌=?‌
L=‌P‌7,000

2. At the end of the first month of operations for Juana’s Delivery Service, the business had
the following accounts: Accounts Receivable, Php 1,200; Prepaid Insurance, Php 500;
Equipment, Php36,200 and Cash, Php40,650. On the same date, Juana owed the following
creditors: Nena’s Supply Company, Php12,000; Maria’s Equipment, Php9,500. The current
assets for the Juana’s Delivery Service are ₱42,350 .

SOLUTION:

‌‌‌‌‌‌‌‌‌‌‌‌‌‌‌Assets

‌‌‌‌Account‌Receivable‌‌=‌P1,200
‌‌‌‌Prepaid‌Insurance‌‌‌‌=‌P500‌
‌‌‌‌‌‌‌Cash‌‌‌‌‌‌‌‌‌‌‌‌‌‌‌‌‌‌‌‌‌=‌P40,650‌
‌‌‌‌‌‌‌‌Current‌Asset‌‌=‌?
CA‌=‌P42,350

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 3. At the end of the first month of operations for Juana’s Delivery Service, the business had
the following accounts: Accounts Receivable, Php 1,200; Prepaid Insurance, Php 500;
Equipment, Php36,200 and Cash, Php40,650. On the same date, Juana owed the following
creditors: Nena’s Supply Company, Php12,000 (due in 6 months); Maria’s Equipment,
Php9,500 (due after 2 years). Current liabilities are ‌P‌‌12,000.
‌ ‌

SOLUTION:

Since Juana owed Nena's supply company which is P12,000 that will be due in 6
months, and Maria’s equipment P9,500 and the due will be after 2 years. That’s why the
current liabilities are , because current liabilities are those who belong in 1 year or 12months.

CL‌=‌P12,000

4. If during the year total assets increase by Php75,000 and total liabilities decrease by
Php16,000, by how much did the owner's equity increase/ decrease? ₱‌91,000 increase.

SOLUTION:

Assets = Liabilities + Owners Equity

P100,000 = 70,000 + 30,000

+ 75,000 = (16,000) (-)

175,000 = 54,000 121,000

(-)

=‌P91,000

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 5. Prepare a Statement of Financial Position using the following accounts (one in report form
and one in account form):

· Cash - 5,000
· Loans Payable – 77,500
· Accounts Receivable – 2,600
· Supplies – 2,300
· Equipment – 17,000
· Owner’s equity – 40,000

· Accounts Payable – 22,400

· Building – 113,000

Note: Use any business name and the end of the current year for the heading

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 AJC Company
Statement of Financial Position
November 21,2020

Assets Liabilities

Current assets Accounts Payable P‌22,400

Cash P5,000 Loans Payable P‌77,500
‌Account Receivable 2,600 Total Liabilities P99,900‌‌‌
‌‌Supplies 2,300
Total Current Assets P9,900

Property,Plant,Equipment

Equipment 17,000 Owner’s Equity

Building 113,000 Owner’s Equity ₱‌40,000
Total non current assets : P130,000 Total Owner’s Equity : ₱40,000

Total‌Assets‌: ‌P139,900 ‌‌‌‌‌‌‌‌‌‌‌‌‌‌Total‌Liabilities‌and‌OE‌:139,900

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 AJC Company
Statement of Financial Position
November 21,2020

Assets

Current Assets

Cash P 5,000
Account Receivable P 2,600
Supplies P 2,300
Total Current Assets P 9,900

Non - Current Assets

Equipments P 17,000

Buildings P 113,000
Total Non Current Assets P 130,000

Liabilities

Account Payable P 22,400

Loans Payable P 77,500
Total Current Liabilities P 99,900

Owner’s Equity

Owner’s Equity P 40,000

Total Owner’s Equity P 40,000
Total Liabilities and Owner’s Equity P 139,900

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 ‌

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