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Effects of the Business Transactions

Total questions: 13

Worksheet time: 10mins

Name
Class
Date
1.

Miss P opened her business, "P's Accounting Service" in the month of March 2018 and invested PhP30,000 cash in the business.

a)

Cash increase & Miss P capital increase

b)

Cash decrease & Miss P capital increase

2.

Paid local business permit in the amount of PhP4,000 cash.

a)

Cash increase & business permit expense increase

b)

Cash decrease & business permit expense increase

3.

Purchased office furniture worth PhP25,000 and office equipment worth PhP40,000.

a)

cash increase & office furniture increase

b)

cash decrease & office furniture increase

4.

Received PhP8,000 cash from Miss Sharon Soledad for tax services.

a)

cash increase & service income increase

b)

cash decrease & service income increase

5.

Received PhP15,000 cash from client for internal revenue compliance.

a)

cash increase & service income increase

b)

cash decrease & service income increase

6.

Purchased office equipment from Gilmore Computer Supply amounting to 25,000 on account

a)

cash increase & accounts payable increase

b)

office equipment increase & accounts payable increase

7.

Paid utilities PhP12,000 in cash.

a)

utilities expense increase & cash account decrease

b)

cash increase & utilities expense increase

8.

Received 5,000 cash from a client for accounting services rendered.

a)

accounts receivable increase & cash account decrease

b)

cash increase & service income increase

9.

Miss P withdrew cash PhP3,000 for personal use.

a)

Miss P withdrawals increase & cash account decrease

b)

cash increase & withdrawals increase

10.

Paid PhP7,500 cash for the rent of laundry shop.

a)

rent expense increase & cash account decrease

b)

cash increase & rent expense increase

11.

Received 10,000 cash from clients for BIR compliance services.

a)

accounts receivable increase & cash account decrease

b)

cash increase & service income increase

12.

Paid PhP6,000 for salaries of the employees.

a)

salaries expense increase & cash account decrease

b)

cash increase & service income increase

13.

Paid cash for the full settlement of account on March 15th transaction.

a)

accounts payable decrease & cash account decrease

b)

cash increase & accounts payable increase