General Journal

Date P.R. Debit Credit

2010
Oct. 1 Cash 110 250,000.00
Marasigan, Capital 310 250,000.00
Invstment.

1 Medical Building 160 1,000,000.00

Land 150 250,000.00
Cash 110 50,000.00
20% Notes Payable 220 1,200,000.00
Acquired medical building and land on account.

1 Medical Equipment 170 420,000.00

Medical Supplies 130 39,000.00
Cash 110 59,000.00
24% Notes Payable 210 400,000.00
Acquired medical equipment and medical supplies on account.

2 Prepaid Insurance 140 20,000.00

Cash 110 20,000.00
Acquired insurance for a year.

4 Cash 110 117,000.00

Medical Revenues 410 117,000.00
Received cash for services rendered.

7 Medical Supplies 130 17,000.00

Accounts Payable 230 17,000.00
Acquired medical supplies on account.

10 Salaries Expence 510 73,000.00

Cash 110 73,000.00
Paid salaries expense.

12 Cash 110 90,000.00

Unearned Research Revenues 260 90,000.00
Received cash for services to be conducted in the future.

18 Accounts Receivable 120 317,000.00

Medical Revenues 410 317,000.00
Billed patients for services rendered.

21 Repairs Expense 530 23,000.00

Cash 110 23,000.00
Paid repairs expense.

23 Telephone Expense 560 3,000.00

Cash 110 3,000.00
Paid telephone bill.

24 Medical Equipment 170 45,000.00

Accounts Payable 230 45,000.00
Acquired medical equipment on account.
 General Journal
Date Account Titles and Explanation P.R. Debit Credit
2010
Oct. 25 Cash 110 113,000.00
Accounts Receivable 120 113,000.00
Collection of accounts receivable.

27 Accounts Payable 230 13,000.00

Cash 110 13,000.00
Payment of liabilities.

30 Marasigan, Withdrawals 320 200,000.00

Cash 110 200,000.00
Withdrawal.

30 Association Dues Expense 550 15,000.00

Cash 110 15,000.00
Paid association dues expense.

30 Insurance Expense 520 1,666.67

Prepaid Insurance 140 1,666.67
Insurance for one month has expired.

30 Supplies Expense 540 35,000.00

Medical Supplies 130 35,000.00
Expired medical supplies.

30 Depreciation Expense-Medical Building 570 5,000.00

Accumulated Depreciation-Medical Building 165 5,000.00
Depreciation of medical building.

30 Depreciation Expense-Medical Equipment 580 9,000.00

Accumulated Depreciation-Medical Equipment 175 9,000.00
Depreciation of medical equipment.

30 Unearned Research Revenues 260 30,000.00

Research Revenues 420 30,000.00
Unearned Revenue.

30 Salaries Expense 510 51,000.00

Salaries Payable 240 51,000.00
Accrued salaries.

30 Interest Expense 590 28,000.00

Interest Payable 250 28,000.00
Accrued interest.

30 Medical Revenues 410 434,000.00

Research Revenues 420 30,000.00
Income Summary 330 464,000.00
 General Journal
Date Account Titles and Explanation P.R. Debit Credit
2010
Oct. 30 Income Summary 330 243,666.67
Salaries Expense 510 124,000.00
Insurance Expense 520 1,666.67
Repairs Expense 530 23,000.00
Supplies Expense 540 35,000.00
Association Dues Expense 550 15,000.00
Telephone Expense 560 3,000.00
Depreciation Expense-Medical Building 570 5,000.00
Depreciation Expense-Medical Equipment 580 9,000.00
Interest Expense 590 28,000.00

30 Income Summary 330 220,333.33

Marasigan, Capital 310 220,333.33

30 Marasigan, Capital 310 200,000.00

Marasigan, Withdrawals 320 200,000.00
 General Ledger
Account: Cash Account No. 110
Date Explanation F Debit Date Explanation F Credit
2010 2010
Oct. 1 J-1 250,000.00 0ct. 1 J-1 50,000.00
4 J-1 117,000.00 1 J-1 59,000.00
12 J-1 90,000.00 2 J-1 20,000.00
25 J-2 113,000.00 10 J-1 73,000.00
21 J-1 23,000.00
23 J-1 3,000.00
27 J-2 13,000.00
30 J-2 200,000.00
30 J-2 15,000.00
570,000.00 456,000.00
Balance 114,000.00

Account: Accounts Receivable Account No. 120

Date Explanation F Debit Date Explanation F Credit
2010 2010
Oct. 18 J-1 317,000.00 Oct. 25 J-2 113,000.00
Balance 204,000.00

Account: Medical Supplies Account No. 130

Date Explanation F Debit Date Explanation F Credit
2010
Oct. 1 J-1 39,000.00
7 J-1 17,000.00
56,000.00 2010
Balance 56,000.00 Oct. 30 J-2 35,000.00

Account: Prepaid Insurance Account No. 140

Date Explanation F Debit Date Explanation F Credit
2010
Oct. 2 J-1 20,000.00
Balance 20,000.00 2010
Beg. Balance 20,000.00 Oct. 30 Adjustment J-2 1,666.67
18,333.33
 General Ledger
Account: Land Account No. 150
Date Explanation F Debit Date Explanation F Credit
2010
Oct. 1 J-1 250,000.00
Balance 250,000.00

Account: Medical Building Account No. 160

Date Explanation F Debit Date Explanation F Credit
2010
Oct. 1 J-1 1,000,000.00
Balance 1,000,000.00

Account: Accumulated Depreciation-Medical Building Account No. 165

Date Explanation F Debit Date Explanation F Credit
2010
Oct. 30 Adjustment J-2 5,000.00
Balance 5,000.00

Account: Medical Equipment Account No. 170

Date Explanation F Debit Date Explanation F Credit
2010
Oct. 1 J-1 420,000.00
24 J-1 45,000.00
465,000.00
Balance 465,000.00

Account: Accumulated Depreciation-Medical Equipment Account No. 175

Date Explanation F Debit Date Explanation F Credit
2010
Oct. 30 Adjustment J-2 9,000.00
Balance 9,000.00

Account: 24% Notes Payable Account No. 210

Date Explanation F Debit Date Explanation F Credit
2010
Oct. 1 J-1 400,000.00
Balance 400,000.00

Account: 20% Notes Payable Account No. 220

Date Explanation F Debit Date Explanation F Credit
2010
Oct. 1 J-1 1,200,000.00
Balance 1,200,000.00
 General Ledger
Account: Accounts Payable Account No. 230
Date Explanation F Debit Date Explanation F Credit
2010 2010
Oct. 27 J-2 13,000.00 Oct. 7 J-1 17,000.00
24 J-1 45,000.00
13,000.00 62,000.00
Balance 49,000.00

Account: Salaries Payable Account No. 240

Date Explanation F Debit Date Explanation F Credit
2010
Oct. 30 Adjustment J-2 51,000.00
Balance 51,000.00

Account: Interest Payable Account No. 250

Date Explanation F Debit Date Explanation F Credit
2010
Oct. 30 Adjustment J-2 28,000.00
Balance 28,000.00

Account: Unearned Research Revenues Account No. 260

Date Explanation F Debit Date Explanation F Credit
2010
Oct. 12 J-1 90,000.00
2010 Balance 90,000.00
Oct. 30 Adjustment J-2 30,000.00 Beg. Balance 90,000.00
60,000.00

Account: Marasigan, Capital Account No. 310

Date Explanation F Debit Date Explanation F Credit
2010
Oct. 1 J-1 250,000.00
2010 Balance 250,000.00
Oct. 30 Closing J-3 200,000.00 Beg. Balance 250,000.00
30 Closing J-3 220,333.33
200,000.00 470,333.33
270,333.33

Account: Marasigan, Withdrawals Account No. 320

Date Explanation F Debit Date Explanation F Credit
2010
Oct. 30 J-2 200,000.00
Balance 200,000.00 2010
Beg. Balance 200,000.00 Oct. 30 Closing J-3 200,000.00
-
 General Ledger
Account: Income Summary Account No. 330
Date Explanation F Debit Date Explanation F Credit
2010 2010
Oct. 30 Closing J-3 243,666.67 Oct. 30 Closing J-2 464,000.00
30 Closing J-3 220,333.33
464,000.00 464,000.00
-

Account: Medical Revenues Account No. 410

Date Explanation F Debit Date Explanation F Credit
2010
Oct. 4 J-1 117,000.00
18 J-1 317,000.00
434,000.00
2010 Balance 434,000.00
Oct. 30 Closing J-2 434,000.00 Beg. Balance 434,000.00
-

Account: Research Revenues Account No. 420

Date Explanation F Debit Date Explanation F Credit
2010
Oct. 30 J-2 30,000.00
2010 Balance 30,000.00
Oct. 30 Closing J-2 30,000.00 Beg. Balance 30,000.00
-

Account: Salaries Expense Account No. 510

Date Explanation F Debit Date Explanation F Credit
2010
Oct. 10 J-1 73,000.00
Balance 73,000.00 2010
Beg. Balance 73,000.00 Oct. 30 Closing J-3 124,000.00
30 Adjustment J-2 51,000.00
124,000.00 124,000.00
-
Account: Insurance Expense Account No. 520
Date Explanation F Debit Date Explanation F Credit
2010 2010
Oct. 30 Adjustment J-2 1,666.67 Oct. 30 Closing J-3 1,666.67
-

Account: Repairs Expense Account No. 530

Date Explanation F Debit Date Explanation F Credit
2010
Oct. 21 J-1 23,000.00
Balance 23,000.00 2010
Beg. Balance 23,000.00 Oct. 30 Closing J-3 23,000.00
-
 General Ledger
Account: Supplies Expense Account No. 540
Date Explanation F Debit Date Explanation F Credit
2010 2010
Oct. 30 Adjustment J-2 35,000.00 Oct. 30 Closing J-3 35,000.00
-

Account: Association Dues Expense Account No. 550

Date Explanation F Debit Date Explanation F Credit
2010
Oct. 30 J-2 15,000.00
Balance 15,000.00 2010
Beg. Balance 15,000.00 Oct. 30 Closing J-3 15,000.00
-

Account: Telephone Expense Account No. 560

Date Explanation F Debit Date Explanation F Credit
2010
Oct. 23 J-1 3,000.00
Balance 3,000.00 2010
Beg. Balance 3,000.00 Oct. 30 Closing J-3 3,000.00
-

Account: Depreciation Expense-Building Account No. 570

Date Explanation F Debit Date Explanation F Credit
2010 2010
Oct. 30 Adjustment J-2 5,000.00 Oct. 30 Closing J-3 5,000.00
-

Account: Depreciation Expense-Equipment Account No. 580

Date Explanation F Debit Date Explanation F Credit
2010 2010
Oct. 30 Adjustment J-2 9,000.00 Oct. 30 Closing J-3 9,000.00
-

Account: Interest Expense Account No. 590

Date Explanation F Debit Date Explanation F Credit
2010 2010
Oct. 30 Adjustment J-2 28,000.00 Oct. 30 Closing J-3 28,000.00
-
 Dr. Nick Marasigan, M.D.
Worksheet
For the Month Ended October 30, 2010

Trial Balance Adjustments Adjusted Trial Balance Income Statement Balance Sheet
No. Account Title Debit Credit Debit Credit Debit Credit Debit Credit Debit
110 Cash 114,000.00 114,000.00 114,000.00
120 Accounts Receivable 204,000.00 204,000.00 204,000.00
130 Medical Supplies 56,000.00 b. 35,000.00 21,000.00 21,000.00
140 Prepaid Insurance 20,000.00 a. 1,666.67 18,333.33 18,333.33
150 Land 250,000.00 250,000.00 250,000.00
160 Medical Building 1,000,000.00 1,000,000.00 1,000,000.00
165 Accumulated Depreciation-Med. Building c. 5,000.00 5,000.00
170 Medical Equipment 465,000.00 465,000.00 465,000.00
175 Accumulated Depreciation-Med. Equipment c. 9,000.00 9,000.00
210 24% Notes Payable 400,000.00 400,000.00
220 20% Notes Payable 1,200,000.00 1,200,000.00
230 Accounts Payable 49,000.00 49,000.00
240 Salaries Payable e. 51,000.00 51,000.00
250 Interest Payable f. 28,000.00 28,000.00
260 Unearned Research Revenues 90,000.00 d. 30,000.00 60,000.00
310 Marasigan, Capital 250,000.00 250,000.00
320 Marasigan, Withdrawals 200,000.00 200,000.00 200,000.00
410 Medical Revenues 434,000.00 434,000.00 434,000.00
420 Research Revenues d. 30,000.00 30,000.00 30,000.00
510 Salaries Expense 73,000.00 e. 51,000.00 124,000.00 124,000.00
520 Insurance Expense a. 1,666.67 1,666.67 1,666.67
530 Repairs Expense 23,000.00 23,000.00 23,000.00
540 Supplies Expense b. 35,000.00 35,000.00 35,000.00
550 Association Dues Expense 15,000.00 15,000.00 15,000.00
560 Telephone Expense 3,000.00 3,000.00 3,000.00
570 Depreciation Expense-Medical Building c. 5,000.00 5,000.00 5,000.00
580 Depreciation Expense-Medical Equipment c. 9,000.00 9,000.00 9,000.00
590 Interest Expense f. 28,000.00 28,000.00 28,000.00
2,423,000.00 2,423,000.00 159,666.67 159,666.67 2,516,000.00 2,516,000.00 243,666.67 464,000.00 2,272,333.33
Profit 220,333.33
464,000.00 464,000.00 2,272,333.33
 Dr. Nick Marasigan, M.D.
Worksheet
For the Month Ended October 30, 2010

Balance Sheet
Credit

5,000.00

9,000.00
400,000.00
1,200,000.00
49,000.00
51,000.00
28,000.00
60,000.00
250,000.00

2,052,000.00
220,333.33
2,272,333.33
 Dr. Nick Marasigan, M.D.
Income Statement
For the Month Ended October 30, 2010

Revenues
Medical Revenues P434,000.00
Research Revenues 30,000.00
Total P464,000.00

Expenses
Salaries Expense P124,000.00
Supplies Expense 35,000.00
Interest Expense 28,000.00
Repairs Expense 23,000.00
Association Dues Expense 15,000.00
Depreciation Expense-Medical Equipment 9,000.00
Depreciation Expense-Medical Building 5,000.00
Telephone Expense 3,000.00
Insurance Expense 1,666.67
Total 243,666.67

Profit P220,333.33
 Dr. Nick Marasigan, M.D.
Statement of Changes in Equity
For the Month Ended October 30, 2010

Marasigan, Owner's Equity, 10/1/2010 P250,000.00

Add: Additional Investment by Marasigan P 0
Profit 220,333.33 220,333.33
Total P470,333.33
Less: Withdrawals 200,000.00
Marasigan, Owner's Equity, 10/30/2010 P270,333.33
 Dr. Nick Marasigan, M.D.
Balance Sheet
October 30, 2010

Assets

Current Assets
Cash P114,000.00
Accounts Receivable 204,000.00
Medical Supplies 21,000.00
Prepaid Insurance 18,333.33
Total Current Assets P357,333.33
Property and Equipment (Net)
Land 250,000.00
Medical Building 1,000,000.00
Less: Accumulated Depreciation 5,000.00 P995,000.00
Medical Equipment 465,000.00
Less: Accumulated Depreciation 9,000.00 456,000.00 1,701,000.00
Total Assets P2,058,333.33
Liabilities
Current Liabilities
24% Notes Payable P 400,000.00
20% Notes Payable 1,200,000.00
Accounts Payable 49,000.00
Salaries Payable 51,000.00
Interest Payable 28,000.00
Unearned Research Revenues 60,000.00
Total Current Liabilities P1,788,000.00
Owner's Equity
Marasigan, Capital, 10/30/2010 270,333.33
Total Liabilities and Owner's Equity P2,058,333.33
 Dr. Nick Marasigan, M.D.
Post-Closing Trial Balance
October 30, 2010

Cash P 114,000.00
Accounts Receivable 204,000.00
Medical Supplies 21,000.00
Prepaid Insurance 18,333.33
Land 250,000.00
Medical Building 1,000,000.00
Accumulated Depreciation-Med. Building P 5,000
Medical Equipment 465,000.00
Accumulated Depreciation-Med. Equipment 9,000.00
24% Notes Payable 400,000.00
20% Notes Payable 1,200,000.00
Accounts Payable 49,000.00
Salaries Payable 51,000.00
Interest Payable 28,000.00
Unearned Research Revenues 60,000.00
Marasigan, Capital 270,333.33
P2,072,333.33 P2,072,333.33