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    Iman Hassan
    1. Various assets and liabilities accounts were recorded for the initial capital contributed and assets acquired for the new business. 2. Revenue and expense accounts were updated monthly to record cleaning services billed and collected, salaries and other operating expenses paid, and rent paid. 3. Notes payable and cash accounts were adjusted to record payments on the vehicle loan and withdrawals by the owner.

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    It 3

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    Iman Hassan
    4K views5 pages
    1. Various assets and liabilities accounts were recorded for the initial capital contributed and assets acquired for the new business. 2. Revenue and expense accounts were updated monthly to record cleaning services billed and collected, salaries and other operating expenses paid, and rent paid. 3. Notes payable and cash accounts were adjusted to record payments on the vehicle loan and withdrawals by the owner.

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    1. Various assets and liabilities accounts were recorded for the initial capital contributed and assets acquired for the new business. 2. Revenue and expense accounts were updated monthly to record cleaning services billed and collected, salaries and other operating expenses paid, and rent paid. 3. Notes payable and cash accounts were adjusted to record payments on the vehicle loan and withdrawals by the owner.

    Copyright:

    © All Rights Reserved
    Download as DOC, PDF, TXT or read online from Scribd
    Download as doc, pdf, or txt
    4K views5 pages

    It 3

    Uploaded by

    Iman Hassan
    1. Various assets and liabilities accounts were recorded for the initial capital contributed and assets acquired for the new business. 2. Revenue and expense accounts were updated monthly to record cleaning services billed and collected, salaries and other operating expenses paid, and rent paid. 3. Notes payable and cash accounts were adjusted to record payments on the vehicle loan and withdrawals by the owner.

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    of 5

    Alcoy, Marie Elaine

    Sayo, Carmina
    Libunao, Florinda

    Prestige Housekeeping

    PRESTIGE started out in early 2012 as a pilot enterprise, offering on-call housekeeping services
    to individual condominium dwellers, an often overlooked and unreached market by the more expansive
    and costly janitorial manpower companies. It was established as a test response to the growing need for
    quality house help where excellent service, availability, and safety are primary considerations of the
    upscale market. Having to settle for untrained house help from rural areas, or from agencies where the
    integrity of maids being deployed cannot be determined with certainty, condominium dwellers are
    usually left with very limited options. PRESTIGE, thus, introduced on-call housekeeping to this growing
    community where highly trained and capable housekeepers are just a phone call away. These allowed
    tenants/unit owners the freedom and luxury to have their units cleaned only when the need arises. Not
    to mention being more cost-effective.

    Now, PRESTIGE is officially registered to formalize its existence and to serve the bigger demand.
    Having been met with gracious arms by the condominium market, PRESTIGE now ventures to establish
    its name as the pioneer in on-call housekeeping and to make on-call housekeeping as one of the basic
    necessities in condominium living.
    Alcoy, Marie Elaine
    Sayo, Carmina
    Libunao, Florinda

    Beginning Balances:

    White Rocks Resort and Hotel Corporation


    Statement of Financial Position
    December 31, 2013
    ASSETS
    Current Assets:
    Cash P 250,000
    Accounts Receivable 180,000
    Cleaning Supplies 37,000
    Prepaid Insurance 18,000
    Total Current Assets P 485,000

    Non Current Assets:


    Cleaning Equipment 67,000
    Service Vehicle 56,000
    Total Non Current Assets P 123,000
    Total Assets P 608,000
    LIABILITIES and OWNER’S EQIUTY
    Current Liabilities:
    Accounts Payable P 130,000
    Notes Payable 48,000
    Total Liabilities P 178,000

    White Rocks, Capital P 430,000


    Total Liabilities and Owner’ s Equity P 608,000
    Alcoy, Marie Elaine
    Sayo, Carmina
    Libunao, Florinda

    Transaction:

     Deposited P62,000 cash in bank account in the name of the new company.
     Acquired cleaning supplies on account, P21,400.
     Acquired cleaning equipment on account, P15,600.
     Acquired an old service vehicle costing P47,000 for the business, paying P10,000 cash, and
    financing the remaining P37,000 by issuing a note payable.
     Paid rent on office space for the month, P7,300.
     Received P31,800 cash for cleaning services rendered.
     Paid for a newspaper advertisement, P1,700.
     Paid for insurance for the next six months by recording prepaid insurance, P4,800.
     Paid P9,000 on account.
     Paid miscellaneous expenses, P2,200.
     Billed customer P18,600 for cleaning services rendered.
     Paid salaries, P8,400.
     Received P9,800 from customers billed on Feb. 15.
     Paid amount due on the note payable, P2,400.
     Paid telephone expense, P900.
     Paid salaries, P7,900.
     Billed customers for cleaning services rendered P22,500.
     Withdrew P10,000 from the business.
     Paid amount due on the note payable, P5,600.
     Received P13,800 cash for cleaning services rendered.
     Paid P12,000 on account.
     Paid salaries, P6,500.
     Paid rent on office space for the month, P7,300.
     Received P8000 from customers billed on Feb. 17.
     Paid telephone expense, P900.
     Billed customers for cleaning services rendered P18,700.
     Paid salaries, P7,300.
     Received P25,800 from customers billed.
     Paid amount due on note payable, P3,000.
     Withdrew P10,000 from the business for personal use.
    Alcoy, Marie Elaine
    Sayo, Carmina
    Libunao, Florinda

    Journal Entries:

    1. Cash P62,000
    Prestige Housekeeping, Capital P62,000
    2. Cleaning Supplies 21,400
    Accounts Payable 21,400
    3. Cleaning Equipment 15,600
    Accounts Payable 15,600
    4. Service Vehicle 47,000
    Cash 10,000
    Notes Payable 37,000
    5. Rent Expense 7,300
    Cash 7,300
    6. Cash 31, 800
    Cleaning Revenue 31,800
    7. Advertising Expense 17,000
    Cash 17,000
    8. Prepaid Insurance 4,800
    Cash 4,800
    9. Accounts Payable 9,000
    Cash 9,000
    10. Miscellaneous Expense 2,200
    Cash 2,200
    11. Accounts Receivable 18,600
    Cleaning Revenue 18,600
    12. Salaries Expense 8,400
    Cash 8,400
    13. Cash 9,800
    Accounts Receivable 9,800
    14. Notes Payable 2,400
    Cash 2,400
    15. Telephone Expense 900
    Cash 900
    16. Salaries Expense 7,900
    Cash 7,900
    17. Accounts Receivable 22,500
    Cleaning Revenue 22,500
    18. Prestige Housekeeping, Withdrawal 10,000
    Cash 10,000
    19. Notes Payable 5,600
    Cash 5,600
    20. Cash 13,800
    Cleaning Revenue 13,800
    21. Accounts Payable 12,000
    Cash 12,000
    22. Salaries Expense 6,500
    Cash 6,500
    23. Rent Expense 7,300
    Cash 7,300
    24. Cash 8,000
    Accounts Receivable 8,000
    25. Telephone Expense 900
    Cash 900
    26. Accounts Receivable 18,700
    Cleaning Revenue 18,700
    27. Salaries Expense 7,300
    Cash 7,300
    28. Cash 25,800
    Accounts Receivable 25,800
    29. Notes Payable 3,000
    Cash 3,000
    30. Prestige Housekeeping, Withdrawal 10,000
    Cash 10,000

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