On November 25, 2010, the BIR issued Revenue Regulation (RR) 15- 2010, which requires

certain information on taxes, duties and license fees paid or accrued during the taxable
year to be disclosed as part of the notes to financial statements.
10.1 Registration, Taxes & Licenses

The details of this account are broken down as follows:

2023
Annual BIR Registration Fee 500.00
Business Permit and Licenses 9,747.00
Total Registration, Taxes, and Licenses 10,247.00

10.2 Provision for Income Tax

Taxable Income 261,831.00

Provision for Income Tax 2,366.20

Add: Penalties
Surcharges 591.55
Interest 192.45
Compromise 1,000.00
Total Penalties 1,784.00

Income Tax Due and Payable 4,150.20

~o0o~
 FINANCIAL STATMENTS
BHERSALYN P. SANTIAGO
Poblacion, Shariff Aguak
Datu Addullah Sangki

Report on the Audit of the Financial Statements

Opinion

I have audited the financial statements of BHERSALYN P. SANTIAGO which comprise the statement
of
financial position as at December 31, 2023, and the statement of comprehensive income, statement
of
changes in networth and statement of cash flows for the year ended December 31, 2023, and notes
to my opinions, the accompanying financial statements presents fairly, in all materials respects, the
In
the financial
financial statements,
position including a summary
of BHERSALYN of significant
P. SANTIAGO as at accounting
December policies.
31, 2023, and its financial
performance and its cash flows for the year ended December 31, 2023 in accordance with the
Philippine
Financial Reporting Standards for SME’s (PRFS for SMEs).
Basis for Opinion

I conducted my audit in accordance with Philippine Standards on Auditing (PSAs). My responsibilities

under those standards are further describe in the Auditor’s Responsibilities for the Audit of the
Financial Statements section of my report. I am independent of BHERSALYN P. SANTIAGO in
accordance with the Code of Ethics for Professional Accountants in the Philippines (The Code of
Ethics)
and I have fulfilled my other ethical responsibilities in accordance with The Code of Ethics. I believe
that
the audit evidence
Responsibilities I have obtained
of Management foristhe
sufficient
Financialand appropriate to provide a basis for my opinion.
Statements

Management is responsible for the preparation and fair presentation of the financial statements in
accordance wit hthe PFRS for SMEs, and for such internal control as management determines is
necessary to enable the preparation of financial statements that are free from material misstatement,
whether due to fraud or error.

In preparing the financial statements, management is responsible for assessing the ability to continue
as a going concern, disclosing, as applicable, matters related to going concern and using the going
concern basis of accounting unless management either intends to liquidate the Enterprise or to cease
operations, or has no realistic alternative but to do so.

Auditor’s Responsibilities for the Audit of the Financial Statements

My objectives are to obtain reasonable assurance about whether the financial statements as a whole
and
free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that
includes my opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that
audit conducted in accordance with PSAs will always detect a material misstatement when it exist
Misstatements can arise from fraud or error and are considered material individually or in
aggregate, they could reasonably be expected to influence the economic decisions of users taken on
basis of these financial statements.
 PROPERTY AND EQUIPMENT
The roll-forward analysis of property and equipment follows:

Current Year: 2018

Building and TOTAL
Particulars Land Service Vehicles
Improvements
20 years 15 years
Estimated Useful Lives
Cost
Acquisition Cost 350,000.00 1,250,000.00 1,500,000.00 3,100.00.00
Addition/(Sales)
Total 350,000.00 1,250,000.00 1,500,000.00 3,100.00.00

Accum. Depreciation
Beg. Balance 250,000.00 300,000.00 550,000.00
Depreciation Expense 62,500.00 100,000.00 162,500.00
Ending Balance 312,500.00 400,000.00 712,500.00
Net Book Value
December 31, 2022 350,000.00 937,500.00 1,100,000.00 2,387,500.00

No Property and equipment are pledged as security to any of its liabilities during the year.

7. TRADE AND OTHER PAYABLES

The details of trade and other payables are as follows:

2023
Suppliers Accounts Payable-Trade 12,907.80
Income Tax Payable 2,366.20
Total Trade and Other Payables 15,274.00

8. GROSS RECEIPTS
This account pertains to income received from distribution of soft drinks amounting to
P2,297,585.00 during the year.

9. COST OF SALES

The computations of Cost of Sales are as follows:

2023
Inventory, Beginning 256,347.00
Add: Purchases 1,665,874.00
Goods Available for Sale 1,992,221.00
Less: Inventory, End 326,255.00
Cost of Sales 1,595,966.00
 KS.S SOFDRINKS DISTRIBUTOR
Owned and Managed by: BHERSALYN P. SANTIAGO
Poblaction, Shariff Aguak, Datu Adullah Sangki
Taxpayer Identification Number: 717-105-827-000

STATEMENT OF CHANGES IN NETOWORTH

(In Ph Peso)

December 31

PFRS-SME’s Account Titles Notes 2023

ASSETS
4.5 Current Assets
4.2(a), 7.2 Cash & Cash Equivalents 3 145,051.80
4.2(b) Trade and Other Receivables 4 182,472.00
Inventories 5 325,255.00
Total Current Assets 653,778.80

Non-current Assets
17 Property and Equipment 6 2,837,500.00
Total Non-Current Assets 2,837,500.00
TOTAL ASSETS 3,041,278.80

LIABILITIES & NETWORTH

4.7 Current Liability

4.2(l), 4.7 Trade and Other Payables 7 15,274.00
Total Current Liabilities 15,274.00

Non-Current Liability
Total Liabilities 15,274.00

6 Networth
BHERSALYN P. SANTIAGO Networth, Beginning 2,816,540.00

Additional Investment
6.3 (c) Net Income (Loss) 259,464.80
Withdrawals (50,000.00)
Net Increase (Decrease) in Networth 209,464.80

6.3 (c) BHERSALYN P. SANTIAGO Networth, Ending 3,026,004.80

TOTAL LIABILITIES AND NETWORTH 3,041,278.80
(See the Accompanying Notes to Financial Statements)

Certified True & Correct:

BHERSALYN P. SANTIAGO
Taxpayer
 KS.S SOFDRINKS DISTRIBUTOR
Owned and Managed by: BHERSALYN P. SANTIAGO
Poblaction, Shariff Aguak, Datu Adullah Sangki
Taxpayer Identification Number: 717-105-827-000

STATEMENT OF CHANGES IN NETOWORTH

(In Ph Peso)

December 31

PFRS-SME’s Particulars 2023

6 Networth
BHERSALYN P. SANTIAGO Networth, Beginning 2,816,540.00

Changes in Networth:
Additional Investment
Net Income (Loss) 259,464.80
Withdrawal (50,000.00)
Net Increase (Decrease) in Networth

BHERSALYN P. SANTIAGO Networth, Ending 3,026,004.80

(See the Accompanying Notes to Financial Statements)

Certified True & Correct:

BHERSALYN P. SANTIAGO
Taxpayer