QUIZ BEE PARTICIPANTS (EASY COMPUTATION)

Suppose a sole proprietor withdraws P5,000 cash from the business. At the same time, he brings his computer with a value of P5,000 into the business. The journal entry should be

• Dr. Computer-5,000 Cr. Cash 5,000

• Dr. Computer- 5,000 Dr. Capital-5,000 Cr. Cash-5,000 Cr. Drawings- 5,000

• Dr. Computer- 5,000 Dr. Drawings- 5,000 Cr. Cash-5,000 Cr. Capital 5,000

• Dr. Drawings- 5,000 Cr. Cash- 5,000

A business compiling its financial statements for the year to July 31 each year pays rent quarterly in advance on Jan 1, Apr. 1, July, 1 and Oct. 1 each year. The annual rent was increased from P600,000 per year to P720,000 per year starting October 1, 2017. What figure should appear for rent expense in the entity's income statement for the year ended July 31, 2018.

• 690,000

• 620,000

• 700,000

• 630,000

An entity has P1,500 of supplies on hand at the end of 2017. During 2018, P2,750 of supplies were purchased. A count of supplies on hand at the end of 2018 found an inventory of P875. What was the amount of supplies expense for 2018?

• 1,875

• 5,125

• 3,375

• 4,250

The closing entry for Salaries Expense, with a balance of P240,000 include

• Cr. Income Summary

• Cr. Salaries Payable

• Cr. Salaries Expense

• Cr. Capital

The entry to record a sale of P7,500 with terms of 2/10, n/30

• Credit to Accounts Receivable- 7,500

• Credit to Sales, 7,500

• Debit to Sales Discount, 150

• Debit to Sales, 7,350

Under a periodic inventory system, the entry to record a purchase of P60,000 with terms of 2/10, n/30 would include a

• Credit to Accounts Payable, P60,000

• Credit to Purchases, 60,000

• Debit to Accounts Payable, 58,800

• Debit to Purchase Discount, 1,200

A payment of P35,000 was received from a charge customer and recorded and posted as P30,500. The correcting entry will be

• debit Cash, P4,500; credit Service Income, P4,500

• debit Cash, P4,500; credit Accounts Receivable, P4,500

• debit Accounts Receivable, P4,500; credit Cash, P4,500

• debit Cash, P4,500; credit Accounts Payable, P4,500

An equipment was purchased on Jan. 1, 2008 for P600,000 less a 10% trade discount. The company paid freight of P5,000 and insurance of P10,000 to transport the equipment to its place. It also paid P16,000 for the yearly insurance of the equipment. It was to be depreciated for P50,000 a year. What was the cost price of the equipment as of Jan. 1, 2008?

• 615,000

• 555,000

• 571,000

• 600,000

Determine the sales for the year

Gross Profit- 280,000

Ending Inventory- 120,000

Goods available for sale- 180,000

• 300,000

• 340,000

• 400,000

• 460,000

If total assets increased P40,000 during the period and total liabilities decreased P24,000 during the same period, the amount and effect (increase and decrease) of the change in equity for that period is:

• Increase 64,000

• Decrease 64,000

• Decrease 16,000

• Increase 16,000