LABADAMI LABANGO LAUNDRY SHOP

Janet Agcamaran is a graduate of Bachelor of Science in Accountancy.

After college, she worked as an accountant for a firm engaged in the trading of surveillance cameras and other security produc
She worked for said company for more than 10 years. This year she has decided to put up her own laundry shop business
and called it “Labadami Labango”. The following are the business transactions of Labadami, Labango for the month of Janua

Robert C’s Repair Shop started on April 1, of the current year by Mr. Robert Cabatcan (the owner). A summa

April

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LABADAMI LABANGO LAUNDRY SHOP

Janet Agcamaran is a graduate of Bachelor of Science in Accountancy.

After college, she worked as an accountant for a firm engaged in the trading of surveillance cameras and other security products.
She worked for said company for more than 10 years. This year she has decided to put up her own laundry shop business
and called it “Labadami Labango”. The following are the business transactions of Labadami, Labango for the month of January:

Robert C’s Repair Shop started on April 1, of the current year by Mr. Robert Cabatcan (the owner). A summary of Apr

Invested P300,000.00 cash to start the repair shop. The money was deposited to the bank.
Register business in BIR and local government unit for licensing. Total amount paid was P2,800.00
Paid rental deposit for 2 months and rent for month of April. Monthly rent is P16,000.00
Purchased auto repair equipment amounting to P245,000.00. Paid deposit of P45,000 while balance is payable
monthly at P20,000.00 for 10 months.
Bought supplies of P6,300 from his sister’s bookstore and was given term of n/30.
Provided repair service on account to Mr. Aldrin Pereda, P78,000.00
Paid P2,500.00 of advertising costs to facebook.
Received P62,000.00 cash from customers for repairs done.
Withdrew P5,000.00 cash from the business for personal use.
Borrowed funds amounting to P500,000.00 from Robinson’s Bank. Issued a promissory note for 180 days with
interest rate of 3% per annum.
Paid utility bills P7,400.00
Collected cash of P24,000.00 from Mr. Aldrin Pereda for services billed on April 6.
Get insurance for the business. Monthly premium is P9,650.00. Paid the insurance premium for the month of
April.
Mr. Pol Palomares brought his SUV for repairs. Total repairs amounted to P120,000.00 Mr. Palomares paid 50%
while the remaining 50% will be paid at the end of the month.
Paid salaries of mechanic and helper totaling P17,000.00.
mary of April transactions is presented below.
R. CABATCAN AUTO REPAIR SHOP
Chart of Accounts
5 MAJOR ACCOUNTS
1000 ASSETS ASSETS Under Assets there are
1100 Current Assets Current Assets
1101 Cash in Bank resources or things of value
1102 Accounts Receivable within a year; or converted
1103 Notes Receivable
1104 Office Supplies
1105 Prepaid Rent
1200 Non-Current Asset/Fixed Assets Non-Current Asset/Fixed A
1201 Equipment - Auto Repair resources or things of value
2000 LIABILITIES LIABILITIES Under liabilities there are c
2100 Current Liabilities Current Liabilities obligations or debts of the b
2101 Accounts Payable
2102 Notes Payable
3000 OWNER'S EQUITY OWNER'S EQUITYresidual claim or interest of
3001 R. Cabatcan, Capital
3002 R. Cabatcan, Drawings
4000 REVENUE REVENUE earnings generated from the
4001 Service Income
5000 EXPENSES EXPENSES outflows of resources
5001 Taxes & Licenses
5002 Rent Expense
5003 Advertising Expense
5004 Utilities Expense
5005 Insurance Expense
5006 Salaries Expense
Under Assets there are
Current Assets
resources or things of value owned or controlled by the business that can be consumed
within a year; or converted to cash (liquidate) within a year

Non-Current Asset/Fixed Assets

resources or things of value owned or controlled by the business that will be used for a long time
Under liabilities there are current and non-current (long term)
obligations or debts of the business that will fall due or mature within a year

residual claim or interest of the owner in the business

earnings generated from the business

outflows of resources
GENERAL JOURNAL

Date Account Ref Debit Credit

April 1, 2023 Cash in Bank L1 ₱300,000.00
R. Cabatcan, Capital L2 ₱300,000.00
initial investment

April 2, 2023 Taxes and Licenses Expense L2 ₱2,800.00

Cash in Bank L1 ₱2,800.00
paid registration

April 3, 2023 Prepaid Rent L1 ₱32,000.00

Rent Expense L2 ₱16,000.00
Cash in Bank L1 ₱48,000.00
paid rental deposit and monthly rent

April 4, 2023 Auto Repair Equipment L1 ₱245,000.00

Cash in Bank L1 ₱45,000.00
Accounts Payable L2 ₱200,000.00
purchased equipment paid downpayment balance payable in 10 months

April 5, 2023 Office Supplies L1 ₱6,300.00

Accounts Payable L2 ₱6,300.00
purchased supplies from owner's sister n/30

April 6 2023 Accounts Receivable L1 ₱78,000.00

Service Income L2 ₱78,000.00
billed Mr. A. Pereda

April 7, 2023 Advertising Expense L2 ₱2,500.00

Cash in Bank L1 ₱2,500.00
paid Facebook for advertising

April 8, 2023 Cash in Bank L1 ₱62,000.00

Service Income L2 ₱62,000.00
customer paid cash for service

April 9, 2023 R. Cabatcan, Drawing L2 ₱5,000.00

Cash in Bank L1 ₱5,000.00
withdrawal of owner

April 10, 2023 Cash in Bank L1 ₱500,000.00

Notes Payable L2 ₱500,000.00
issued PN for loan from Robinsons Bank

April 11, 2023 Utilities Expense L2 ₱7,400.00

 Cash in Bank L1 ₱7,400.00
paid utilities

April 12, 2023 Cash in Bank L1 ₱24,000.00

Accounts Receivable L1 ₱24,000.00
collected partial payment from A. Pereda

April 13, 2023 Insurance Expense L2 ₱9,650.00

Cash in Bank L1 ₱9,650.00
paid insurance premium for month of April

April 14, 2023 Cash in Bank L1 ₱60,000.00

Accounts Receivable L1 ₱60,000.00
Service Income L2 ₱120,000.00
billed Mr. Palomares - 50%
downpayment; 50% on account

April 15, 2023 Salary Expense L2 ₱17,000.00

Cash in Bank L1 ₱17,000.00
paid salary of employees
BEAUTIFUL SMILES DENTAL CLINIC
GENERAL LEDGER

Account: Cash in Bank

Date Item/Particulars Ref Debit Date
April 1, 2023 initial investment J1 ₱300,000.00 April 2, 2023
April 8, 2023 service J1 ₱62,000.00 April 3, 2023
April 10, 2023 loan from Robinson's Bank J1 ₱500,000.00 April 4, 2023
April 12, 2023 partial payment - Mr. Pereda J1 ₱24,000.00 April 7, 2023
April 14, 2023 service - Mr. Palomares J1 ₱60,000.00 April 9, 2023
April 11, 2023
April 13, 2023
April 15, 2023
₱946,000.00
-₱137,350.00
₱808,650.00

Account: Accounts Receivable

Date Item/Particulars Ref Debit Date
April 6 2023 service to Mr. Pereda J1 ₱78,000.00 April 12, 2023
April 14, 2023 service - Mr. Palomares J1 ₱60,000.00
₱138,000.00
-₱24,000.00
₱114,000.00

Account: Office Supplies

Date Item/Particulars Ref Debit Date
April 5, 2023 purchased on account J1 ₱6,300.00

Account: Prepaid Rent

Date Item/Particulars Ref Debit Date
April 3, 2023 rental deposit J1 ₱32,000.00

Account: Equipment - Auto Repair

Date Item/Particulars Ref Debit Date
April 4, 2023 J1 ₱245,000.00
 Account No. 1101
Item/Particulars Ref Credit
paid
paidregistration
rental deposit and J1 ₱2,800.00
monthly rent J1 ₱48,000.00
purchase equipment J1 ₱45,000.00
paid Facebook J1 ₱2,500.00
owner's drawing J1 ₱5,000.00
paid utilities J1 ₱7,400.00
paid insurance J1 ₱9,650.00
paid salaries J1 ₱17,000.00
₱137,350.00

Account No. 1102

Item/Particulars Ref Credit
partial payment - Mr. Pereda J1 ₱24,000.00

₱24,000.00

Account No. 1103

Item/Particulars Ref Credit

Account No. 1106

Item/Particulars Ref Credit

Account No. 1201

Item/Particulars Ref Credit
BEAUTIFUL SMILES DENTAL CLINIC
GENERAL LEDGER

Account: Accounts Payable

Date Item/Particulars Ref Debit Date
April 4, 2023
April 5, 2023

Account: Notes Payable

Date Item/Particulars Ref Debit Date
April 10, 2023

Account: R. Cabatcan, Capital

Date Item/Particulars Ref Debit Date
April 1, 2023

Account: R. Cabatcan, Drawings

Date Item/Particulars Ref Debit Date
April 9, 2023 withdrawal J1 ₱5,000.00

Account: A. Service Income

Date Item/Particulars Ref Debit Date
April 6 2023
April 8, 2023
April 14, 2023

Account: Taxes and Licenses Expense

Date Item/Particulars Ref Debit Date
April 2, 2023 paid registration J1 ₱2,800.00

Account: Rent Expense

Date Item/Particulars Ref Debit Date
April 3, 2023 paid monthly rent ₱16,000.00

Account: Advertising Expense

Date Item/Particulars Ref Debit Date
April 7, 2023 paid Facebook J1 ₱2,500.00
Account: Utilities Expense
Date Item/Particulars Ref Debit Date
April 11, 2023 paid utilities J1 ₱7,400.00

Account: Insurance Expense

Date Item/Particulars Ref Debit Date
April 13, 2023 J1 ₱9,650.00

Account: Salary Expense

Date Item/Particulars Ref Debit Date
April 15, 2023 paid employees J1 ₱17,000.00
 Account No. 2101
Item/Particulars Ref Credit
purchase auto equipment J1 ₱200,000.00
purchase office supplies J1 ₱6,300.00
₱206,300.00

Account No. 2102

Item/Particulars Ref Credit
loan from Robinson's Bank J1 ₱500,000.00

Account No. 3001

Item/Particulars Ref Credit
initial investment ₱300,000.00

Account No. 3002

Item/Particulars Ref Credit

Account No. 4001

Item/Particulars Ref Credit
service to Mr. Pereda J1 ₱78,000.00
various customers J1 ₱62,000.00
service - Mr. Palomares J1 ₱120,000.00
₱260,000.00

Account No. 5001

Item/Particulars Ref Credit

Account No. 5002

Item/Particulars Ref Credit

Account No. 5003

Item/Particulars Ref Credit
 Account No. 5004
Item/Particulars Ref Credit

Account No. 5005

Item/Particulars Ref Credit

Account No. 5006

Item/Particulars Ref Credit
LABADAMI LABANGO LAUNDRY SHOP
Trial Balance
As of June 30, 2023

Accounts Debit Credit

Cash in Bank ₱808,650.00
Accounts Receivable ₱114,000.00
Office Supplies ₱6,300.00
Prepaid Rent ₱32,000.00
Equipment - Auto Repair ₱245,000.00
Accounts Payable ₱206,300.00
Notes Payable ₱500,000.00
R. Cabatcan, Capital ₱300,000.00
R. Cabatcan, Drawings ₱5,000.00
Service Income ₱260,000.00
Taxes & Licenses ₱2,800.00
Rent Expense ₱16,000.00
Advertising Expense ₱2,500.00
Utilities Expense ₱7,400.00
Insurance Expense ₱9,650.00
Salaries Expense ₱17,000.00
Total ₱1,266,300.00 ₱1,266,300.00
Balance check ₱0.00

₱260,000.00
₱16,000.00
₱7,400.00
₱17,000.00 ₱40,400.00
₱219,600.00