2.2.

JV Car Repair Shop

Worksheet
December 31, 2020

Trial Balance Adjustments Adjusted Trial Balance

Account
No. Account Title DR CR DR CR DR CR

100 Cash P 820,000.00 - - - 820,000.00 -

110 Accounts Receivable - - 8 50,000.00 - 50,000.00 -
120 Notes Receivable 80,000.00 - - - 80,000.00 -
130 Supplies 30,000.00 - - 1 28,000.00 2,000.00 -
140 Equipment 150,000.00 - - 150,000.00 -
200 Accounts Payable - P 40,500.00 - - - 40,500.00
210 Notes Payable - 200,000.00 - - - 200,000.00
300 Vincent, Capital - 650,000.00 - - - 650,000.00
301 Vincent Drawing 50,000.00 - - - 50,000.00 -
400 Service Income - 380,000.00 5 10,000.00 8 50,000.00 - 420,000.00
500 Advertising Expense 40,500.00 - - - 40,500.00 -
501 Rent Expense 40,000.00 - - 6 10,000.00 30,000.00 -
502 Salary Expense 50,000.00 - - - 50,000.00 -
503 Utilities Expense 10,000.00 - 3 10,000.00 - 20,000.00 -
Totals 1,320,500.00 1,320,500.00 - -
- - - -
Adjustments: - - - -
504 1) Supplies expense 1 28,000.00 - 28,000.00 -
505 2)Depreciation Expense -Equipment 2 9,500.00 - 9,500.00 -
141 2)Acc. Depreciation-Equipment - 2 9,500.00 - 9,500.00
220 3)Utilities Payable - 3 10,000.00 - 10,000.00
506 4)Interest Expense 4 7,000.00 7,000.00 -
230 4)interest Payable - 4 7,000.00 - 7,000.00
240 5) Unearned Income - 5 10,000.00 - 10,000.00
131 6)Prepaid Rent 6 10,000.00 - 10,000.00 -
507 7)Impairment Loss-A/R 7 5,000.00 - 5,000.00 -
111 7)Allow. for Impairment Loss- A/R - 7 5,000.00 - 5,000.00
121 9)Interest Receivable 9 2,333.33 - 2,333.33 -
401 9)Interest Income - 9 2,333.33 - 2,333.33
508 10) Taxes Expenses 10 20,000.00 - 20,000.00 -
250 10)Taxes payable - 10 20,000.00 - 20,000.00
 P 151,833.33 P 151,833.33 P 1,374,333.33 P 1,374,333.33 1,472,333.33 1,472,333.33

Note: Adjusting Entries should always be posted in their proper ledger accounts (aside from the worksheet)
 3.1
2.2. JV Car Repair Shop
Worksheet
December 31, 2020

Adjusted Trial Balance Income Statement

Account
No. Account Title DR CR

100 Cash P 820,000.00 -

110 Accounts Receivable 50,000.00 -
120 Notes Receivable 80,000.00 -
130 Supplies 2,000.00 -
140 Equipment 150,000.00 -
200 Accounts Payable - 40,500.00
210 Notes Payable - 200,000.00
300 Vincent, Capital - 650,000.00
301 Vincent Drawing 50,000.00 -
400 Service Income - 420,000.00
500 Advertising Expense 40,500.00 -
501 Rent Expense 30,000.00 -
502 Salary Expense 50,000.00 -
503 Utilities Expense 20,000.00 -

Adjustments:
504 1) Supplies expense 28,000.00 -
505 2)Depreciation Expense -Equipment 9,500.00 -
141 2)Acc. Depreciation-Equipment - 9,500.00
220 3)Utilities Payable - 10,000.00
506 4)Interest Expense 7,000.00 -
230 4)interest Payable - 7,000.00
240 5) Unearned Income - 10,000.00
131 6)Prepaid Rent 10,000.00 -
507 7)Impairment Loss-A/R 5,000.00 -
111 7)Allow. for Impairment Loss- A/R - 5,000.00
121 9)Interest Receivable 2,333.33 -
401 9)Interest Income - 2,333.33
508 10) Taxes Expenses 20,000.00 -
250 10)Taxes payable - 20,000.00
Totals 1,374,333.33 P 1,374,333.33 P
Net Income
Totals P
Instruction:
1) Extend all income and Expense accounts to the Income Statement Columns
2) Extend all Assets, Liabilities, Capital and Drawing Accounts to the Balance Sheet Columns
3)Sub-Total all columns
4)Compute for the difference between the DR and CR columns of the Income Statement
If the DR is > CR = Net Loss place the difference in amount in the CR column
If the CR is > DR = Net Income place the difference in amount in the DR column
Total each IS column, it should be equal.
5)Compute for the difference between the DR and CR columns of the Balance Sheet
If the CR is > DR = Net Loss place the difference in amount in the DR column
If the DR is > CR = Net Income place the difference in amount in the CR column
5) Total each IS column, it should be equal.
6) Total each BS column, it should be equal.
ar Repair Shop
Worksheet
mber 31, 2020

Income Statement Balance Sheet

DR CR DR CR

820,000.00
50,000.00
80,000.00
2,000.00
150,000.00
40,500.00
200,000.00
650,000.00
50,000.00
420,000.00
40,500.00
30,000.00
50,000.00
20,000.00

28,000.00
9,500.00
9,500.00
10,000.00
7,000.00
7,000.00
10,000.00
10,000.00
5,000.00
5,000.00
2,333.33
2,333.33
20,000.00
20,000.00
210,000.00 P 422,333.33 P 1,164,333.33 P 952,000.00
212,333.33 212,333.33
422,333.33 P 422,333.33 P 1,164,333.33 P 1,164,333.33
nce Sheet Columns

come Statement
in the CR column
in the DR column

lance Sheet
in the DR column
in the CR column
3.1 JV Carwash Repair Shop
Statement of Financial Performance
For the Year ended December 31, 2020

Revenues:
Service Income P 420,000.00
Interest Income 2,333.33
Total Revenues 422,333.33
Less: Expenses
Advertising Expense P 40,500.00
Rent Expense 30,000.00
Salary Expense 50,000.00
Utilities Expense 20,000.00
Supplies expense 28,000.00
Depreciation Expense -Equipment 9,500.00
Impairment Loss-A/R 5,000.00
Interest Expense 7,000.00
Taxes Expenses 20,000.00 210,000.00
Net Income P 212,333.33
3.1 JV Car Repair Shop
Statement of Changes in Equity
For the Year Ended Dec. 31, 2020

Vincent, Capital Jan. 1 P 650,000.00

Add: Additional Investment 212,333.33
Total Investments 862,333.33
Add:Profit
Total 862,333.33
Less: Withdrawals 50,000.00
Vincent , Capital Dec. 31 P 812,333.33

-
3.1 JV Car Repair Shop
Statement of Financial Position
As of Dec. 31, 2020

Assets
Current Assets
Cash P 820,000.00
Accounts Receivable P 50,000.00
Less : Allowance for Impairment 5,000.00
Net Realizable value 45,000.00
Notes Receivable 80,000.00
Supplies 2,000.00
Prepaid Rent 10,000.00
Interest Receivable 2,333.33
Total Current Assets 959,333.33

Non-Current Assets
Equipment P 150,000.00
Less: Acc. Depreciation-Equipment 9,500.00
Net Book value 140,500.00
Total Assets P 1,099,833.33

Liabilities and Owner's Equity

Liabilities
Current Liabilities
Accounts Payable P 40,500.00
Notes Payable 200,000.00
Unearned Income 10,000.00
Utilities Payable 10,000.00
Interest Payable 7,000.00
Taxes payable 20,000.00
Total Liabilities P 287,500.00

Owner's Equity
Vincent , Capital end P 812,333.33
Total Liabilities and Owner's Equity P 1,099,833.33
3.1 JV Car Repair Shop
Statement of Cash Flows
For the Year Ended Dec. 31, 2020

Cash Flows from Operating Activities

Service Income
Rent Expense
Supplies Expense
Salary expense
Collection from customers
Utilities expense
Net Cash Flows from Operating Activities -
-
Cash Flows from Investing

Net Cash Flows from Investing Activities -

Cash Flows from Financing Activities

Notes Payable
Vincent, Drawings
Additional investment
Net Cash Flows from Financing Activities -
Increase (Decrease in Cash) -
Add: Cash, January 1 -
Cash, December 31 P -