Quiz - Topic 5
Quiz - Topic 5
Quiz - Topic 5
Above is the unadjusted trial balance of Abella Engineering Services at December 31, 2021.
Consider the following transactions and adjustments to arrive at the updated balances as at year-end.
The land worth P100,000 was sold at P110,000. This has not been reflected on the trial balance
above.
Prepaid advertising amounts to P220,000 at year-end.
Engineering supplies used - P180,000.
Survey equipment depreciation expense for the year - P160,000.
Accrued salaries resulted to a payable of P140,000.
Accrued interest on notes payable - P60,000.
P40,000 of the unearned revenues has been earned.
Required: Compute for the updated balances of the following:
1. Prepaid Advertising
2. Engineering Supplies
3. Accounts Payable
4. Salaries Payable
5. Interest Payable
6. Unearned Survey Revenues
7. Notes Payable
8. Survey Reveues
9. Advertising Expense
10. Supplies Expense
11. Survey equipment book value
12. Depreciation Expense - Survey equipment
13. Interest Expense
14. Salaries Expense
15. Rent Expense
16. Insurance Expense
17. Total expenses
18. Income before tax
19. Current assets
20. Non-current assets
21. Total assets
22. Current liabilities
23. Non-current liabilities
24. Total liabilities
25. Abella, Capital-end
PROBLEM 2
Consider the following transactions in the preparation of the statement of cash flows:
Required:
1. Total cash inflow from operating activities
2. Total cash outflow from operating activities
3. Total cash inflow from investing activities
4. Total cash outflow from investing activities
5. Total cash inflow from financing activities
6. Total cash outflow from financing activities
7. Net increase (decrease) in cash.