Victoriano Navarette Traders

STATEMENT OF FINANCIAL PERFOMANCE

For the year ended, December 31, 2021
Net Sales
Gross Sales P 9,630,000
Less: Sales Returns and Allowances P 280,000
Sales Discounts 210,000 (490,000)
Net Sales P 9,140,000
Cost of Sales
Merchandise Inventory, 1/1/2021 2,170,000
Purchases P 4,720,000
Less: Purchase Returns and Allowances P 110,000
Purchase Discounts 70,000 (180,000)
Net Purchases 4,540,000
Transportation In 50,000
Net Cost of Purchases 4,590,000
Goods Available for Sale 6,760,000
Less: Merchandise Inventory, 12/31/2021 1,430,000
Cost of Sales (5,330,000)
Gross Profit P 3,810,000
Operating Expenses
Selling Expenses
Salaries Expense - Selling 1,140,000
Transportation Out 170,000
Selling Supplies Expense 80,000
Total Selling Expenses 1,390,000
Administrative Expenses
Salaries Expense – General 920,000
Depreciation Expense – Store Equipment 160,000
Depreciation Expense – Office Equipment 320,000
Office Supplies Expense 460,000
Insurance Expense 55,000
Miscellaneous Expense 30,000
Total Administrative Expenses 1,945,000
Total Operating Expense (3,335,000)
Profit P 475,000

REWRITE PROBLEM 7 FIRST!!

 Christine Sousa Bags
STATEMENT OF FINANCIAL PERFOMANCE
For the year ended, December 31, 2021
Net Sales
Gross Sales P 4,600,000
Less: Sales Returns and Allowances P 187,000
Sales Discounts 161,000 (348,000)
Net Sales P 4,252,000
Cost of Sales
Merchandise Inventory, 1/1/2021 598,000
Purchases P 2,643,000
Less: Purchase Returns and Allowances P 133,000
Purchase Discounts 172,000 (305,000)
Net Purchases 2,338,000
Transportation In 72,000
Net Cost of Purchases 2,410,000
Goods Available for Sale 3,008,000
Less: Merchandise Inventory, 12/31/2021 723,000
Cost of Sales (2,285,000)
Gross Profit P 1,967,000
Operating Expenses
Supplies Expense 17,000
Salaries Expense 883,000
Travel Expense 188,000
Insurance Expense 25,000
Depreciation Expense – Office Building 15,000
Depreciation Expense – Office Equipment 20,000
Advertising Expense 25,000
Interest Expense 208,000
Total Operating Expense (1,381,000)
Profit P 586,000

Christine Sousa Bags

STATEMENT OF CHANGES IN EQUITY
For the year ended, December 31, 2021
Sousa, Capital, 1/1/2021 P 1,510,000
Add: Profit 586,000
Total 2,096,000
Less: Withdrawals (200,000)
Sousa, Capital, 12/31/2021 P 1,896,000

Christine Sousa Bags

 STATEMENT OF FINANCIAL POSITION
As of December 31, 2021
ASSETS
Current Assets
Cash P 72,000
Accounts Receivable 136,000
Merchandise Inventory 723,000
Prepaid Advertising 50,000
Office Supplies 25,000
Total Current Assets P 1,006,000
Property and Equipment (net)
Land 400,000
Building P 1,600,000
Less: Accumulated Depreciation (115,000) 1,485,000
Office Equipment 570,000
Less: Accumulated Depreciation (170,000) 400,000 2,285,000
TOTAL ASSETS P 3,291,000

LIABILITIES
Current Liabilities
Accounts Payable 74,000
Salaries Payable 21,000
Total Current Liabilities 95,000
Noncurrent Liabilities
Notes Payable due in 2 years 200,000
Mortgage Payable 1,100,000
Total Noncurrent Liabilities 1,300,000
Total Liabilities 1,395,000
OWNER’S EQUITY
Sousa, Capital, 12/31/2021 1,896,000
TOTAL LIABILITIES & OWNER’S EQUITY P 3,291,000

2021
Dec. 31 Supplies Expense 17,000
Office Supplies 17,000
Supplies consumed

/ Advertising Expense 25,000

Prepaid Advertising 25,000
Expired portion of prepaid advertising for the
year

/ Salaries Expense 21,000

Salaries Payable 21,000
Accrued salaries at the end of the year
 / Depreciation Expense – Office Building 15,000
Accumulated Depreciation – Office Building 15,000
Depreciation of office equipment for the year

/ Depreciation Expense – Office Equipment 20,000

Accumulated Depreciation – Office Equipment 20,000
Depreciation of office equipment for the year

2021
Dec. 31 Sales 4,600,000
Purchases Returns and Allowances 133,000
Purchase Discounts 172,000
Merchandise Inventory, Ending 723,000
Income Summary 5,628,000
To close nominal accounts with credit
balances and establish ending inventory

/ Income Summary 5,042,000

Merchandise Inventory, Beginning 598,000
Purchases 2,643,000
Sales Returns and Allowances 187,000
Sales Discounts 161,000
Transportation In 72,000
Supplies Expense 17,000
Salaries Expense 883,000
Travel Expense 188,000
Insurance Expense 25,000
Depreciation Expense – Office Building 15,000
Depreciation Expense – Office Equipment 20,000
Advertising Expense 25,000
Interest Expense 208,000
To close nominal accounts with debit
balances and remove beginning inventory

/ Income Summary 586,000

Sousa, Capital 586,000
To close income summary account

/ Sousa, Capital 200,000

Torres, Withdrawals 200,000
To close withdrawals account

Marissa Babilonia Health Store

 STATEMENT OF FINANCIAL PERFOMANCE
For the year ended, December 31, 2021
Net Sales
Gross Sales P 9,810,000
Less: Sales Returns and Allowances P 260,000
Sales Discounts 140,000 (400,000)
Net Sales P 9,410,000
Cost of Sales
Merchandise Inventory, 1/1/2021 1,160,000
Purchases P 6,710,000
Less: Purchase Returns and Allowances P 250,000
Purchase Discounts 180,000 (430,000)
Net Purchases 6,280,000
Transportation In 100,000
Net Cost of Purchases 6,380,000
Goods Available for Sale 7,540,000
Less: Merchandise Inventory, 12/31/2021 1,040,000
Cost of Sales (6,500,000)
Gross Profit P 2,910,000
Operating Expenses
Selling Expenses
Salaries Expense - Selling 960,000
Transportation Out 260,000
Selling Supplies Expense 150,000
Advertising Expense 70,000
Total Selling Expenses 1,440,000
Administrative Expenses
Salaries Expense – General 1,130,000
Depreciation Expense – Store Equipment 140,000
Depreciation Expense – Office Equipment 110,000
Office Supplies Expense 430,000
Miscellaneous Expense 90,000
Total Administrative Expenses 1,900,000
Total Operating Expense (3,340,000)
Loss P (430,000)

Ramon Woo Milk Products

 STATEMENT OF FINANCIAL PERFOMANCE
For the month ended, June 31, 2021
Net Sales
Gross Sales P 731,000
Less: Sales Returns and Allowances P 18,030
Sales Discounts 10,400 (28,430)
Net Sales P 702,570
Cost of Goods Sold
Inventory, 1/1/2021 69,350
Purchases P 364,000
Less: Purchase Returns and Allowances P 3,400
Purchase Discounts 1,990 (5,390)
Net Cost of Purchases 358,610
Goods Available for Sale 427,960
Less: Inventory, 06/30/2021 (65,520)
Cost of Goods Sold (362,440)
Gross Profit P 340,130
Operating Expenses
Selling Expenses 132,900
General Expenses 116,700
Interest Expense 5,400
Total Operating Expense (255,000)
Profit P 85,130

Inventory, 1/1/2021 P 69,350

Purchases P 364,000
Less: Purchase Returns and Allowances P 3,400
Purchase Discounts 1,990 (5,390)
Net Cost of Purchases 358,610
Goods Available for Sale 427,960
Less: Inventory, 06/30/2021 (65,520)
Cost of Goods Sold P 362,440

2021
Dec. 31 Sales 1,000,000
 Purchases Returns and Allowances 6,000
Purchase Discounts 13,200
Merchandise Inventory, Ending 118,000
Income Summary 1,137,200
To close nominal accounts with credit
balances and establish ending inventory

/ Income Summary 1,066,000

Merchandise Inventory, Beginning 128,000
Purchases 660,000
Sales Returns and Allowances 3,000
Sales Discounts 9,000
Transportation In 16,000
Operating Expenses 250,000
To close nominal accounts with debit
balances and remove beginning inventory

/ Income Summary 71,200

Torres, Capital 71,200
To close income summary account

/ Torres, Capital 24,000

Torres, Withdrawals 24,000
To close withdrawals account