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HOW TO USE THIS COMPETENCY-BASED LEARNING MATERIAL

Welcome to the module in Journalizing Transactions for Single

Proprietorship. This module contains training materials and activities for

you to complete.

The unit of competency Journalize Transaction for Single

Proprietorship” covers the knowledge, skills, and attitudes required to

complete so as to qualify you in the National Certification in Bookkeeping NC

III.

You are required to go through a series of learning activities in order

to complete each learning outcome of the module. Each of the learning

outcomes is provided with Information Sheets. Follow these activities on

your own and answer the self-check at the end of each learning outcome.

You may remove a blank answer sheet at the end of each module (or get the

answer sheets from the facilitator) to write the answers for each self-check. If

you have questions, don’t hesitate to ask your facilitator for assistance.

RECOGNITION OF PRIOR LEARNING (RPL)

You may already have some or most of the knowledge and skills

covered in this learner’s guide because you have:

Been working for some time. Already completed training in this area.

If you can demonstrate to your trainer that you are competent in a

particular skill or skills, talk to the facilitator about having them formally

recognized so you do not have to do the same training again. If you have

Competency-based LearningMaterial for

BOOKKEEPING

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Module Title: Journalize Transactions

Date Developed: April 2016

Document No.

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Developed by:Maria Cecilia P.Pagana

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qualification or Certificate of Competency from the previous trainings, show

it to the facilitator. If the skills you acquired are still current and relevant to

the unit/s of competency they may become part of the evidence you can

present for RPL. If you are not sure about the currency of your skills,

discuss this with your facilitator.

At the end of this module is a Learner’s Diary. Use the diary to record

important dates, jobs undertaken and other workplace events that will

assist you in providing further details to your facilitator/ assessor. A Record

of Achievement is also provided by your facilitator to complete once you

complete the module.

This module was prepared to help you achieve the required competencyin Bookkeeping NC III. This will be the source of information for you to

acquire knowledge and skills in this particular trade independently and at

your own pace, with minimum supervision or help from your instructor.

Talk to your facilitator and agree on how you will both organize the

Training of this unit. Read through the module carefully. It is divided

into sections, which cover all the skills and knowledge you need to

successfully complete this module. Work through all the information and complete the activities in each

section. Read information sheets and complete self check. Suggested

references are included to supplement the materials provided in this

module. Most probably your facilitator will be your supervisor or manager. Your

facilitator will support and correct you. Your facilitator will tell you about the important things you need to

consider when you are completing activities and it is important that you listen and take notes. You will be given plenty of opportunity to ask questions and practice

on the job. Make sure you practice new skills during regular work


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shifts. This way you will improve both your speed and memory and

also your confidence. Talk to more experience work-mates and ask for their guidance. Use the self-check questions at the end of each section to test your

own progress. When you are ready, ask your facilitator to watch you perform the

activities outlined in this module. Ask you work through the activities; ask for written feedback on your

progress. Your facilitator keeps feedback/ pre-assessment reports for

this reason. When you have successfully completed each element, ask

the facilitator to mark on the reports that you are ready for

assessment.

When you have completed this module, and feel confident that youhave had sufficient practice, your facilitator will arrange an

appointment with registered assessor’s to assess you. The results of

your assessment will be recorded in your competency Achievement

Record.


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TABLE OF CONTENTS

How To Use This Competency-Based Learning Material………………1 Table of Contents…………………………………………………………………. 4Qualification Title……………………………………………………………… …. 5Module Content…………………………………………………………………. 6Learning Outcome No.3 Prepare Journal…………………………………. 7Learning Experiences………………………………………………………….. 8

Information Sheet No.1.3-1 Generally Accepted AccountingPrinciples……………………..……… 9-11

Self- Check No.1.3-1…………………………………........... 12 Answer for Self-Check No.1.3-1…………………….......... 13

Information Sheet No.1.3-2 Accounting Equation ……...….. 14-17Self- Check No.1.3-2………………………………………….. 18

Answer for Self-Check No.1.3-2………………………….... 19 Information Sheet No.1.3-3 Journalizing of Proprietor


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Account Titles ………..….. 20-24Self- Check No.1.3-3………………………………………….. 25

Answer for Self-Check No.1.3-3………………………….... 26 Job Sheet 1.3-1 Prepare Journal Entry………………………………….…. 27-29

Answer Key Job Sheet ………………………………………………. 30-31

Performance Criteria Checklist 1.3-1…………………………………… …. 32

QUALIFICATION TITLE


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COMPETENCY BASED LEARNING MATERIALS

List of Competencies

No. Unit of

Competency

Module Title Code

CORE

COMPETENCIES

CODE NO.

Units of

Competency

1 Journalize

transactions

Journalizing

transactions for

single

proprietorship Journalizing

transactions for

partnership

Journalizing

transactions for

corporation

HCS412301

2 Post transactions

Posting transactions HCS412302

3 Prepare trial balance

Preparing trial balance

HCS412303

4 Prepare financialreports

Preparing financial

reports for single

proprietorship

Preparing financial

reports for

partnership

Preparing financialreports for

corporation

HCS412304

5 Review internalcontrol system

Reviewing internal

control system

HCS412305


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MODULE CONTENT

Qualification Title: Book Keeping NC III

Unit of Competency: Journalize Transactions

Module Title: Journalizing Transactions for

Single Proprietorship

Introduction: This unit covers the knowledge, skills, and attitudes in

logging/recording business transactions in an accounting journal.

Learning Outcome:

Upon completion of this module, you must be able to:

1. Prepare chart of accounts

2. Analyze documents

3. Prepare journal entry

Assessment Criteria:

1.List of asset, liability, equity, income, and expense account titlesare prepared in accordance with Generally Accepted AccountingPrinciples.

2.Chart of Accounts is coded according to industry practice.3.Documents are gathered, checked and verified in accordance with verification and validation processes.

4.Account titles are selected in accordance with standard selectionprocesses.

5.Journal entries are prepared in accordance with generally acceptedaccounting principles.

6.Debit and credit account titles are determined in accordance withchart of accounts.Competency-based Learning

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7.Explanation to journal entry is prepared in accordance with thenature of transaction.


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LEARNING OUTCOME NO. 3 PREPARE JOURNAL ENTRY

CONTENTS:

1.Generally Accepted Accounting Principles

2. Accounting Equation

3. Journalizing of Proprietor Account Titles

ASSESSMENT CRITERIA:

1.Journal entries are prepared in accordance with generally accepted

accounting principles.

2.Debit and credit account titles are determined in accordance with

chart of accounts.

3.Explanation to journal entry is prepared in accordance with the

nature of transaction.

CONDITIONS:

The students/trainees must be provided with the following:

1.Calculator

2. Journal Paper

3.Learning Materials4.Pencil

5.Eraser

6.Philippine Financial Reporting Standards


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ASSESSMENT METHOD:

1. Written test

2. Practical/performance test

3. Interview

4. Practical exercises


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LEARNING EXPERIENCES

Learning Outcome No.3 PREPARE JOURNAL ENTRY

1.Read Information Sheet 1. 3-1On Generally Accepted

Accounting PrinciplesIn this lesson, you need to learn that

Journalsare prepared in accordance

with industry practice and

generally accepted accounting

principles/Philippine Financial

Reporting Standards for

transactions and events.

Debit account titles are determined in

accordance with chart of accounts

Credit account titles are determined in

accordance with chart of accounts

Go through the Information Sheets

and answer the self-checks to ensure

the knowledge you have learned in

Journalizing Transactions

Show your output to your trainer for

the feedback/evaluation.

2.Answer Self-Check 1. 3-1Compare your answers with

Answer Key 1.3-13.Read Information Sheet 1. 3-2

on Accounting Equation

4.Answer Self-Check 1. 3-2Compare your answers with

Answer Key 1.3-25.Read Information Sheet 1. 3-3

on Journalizing of Proprietor

Account Titles6.Answer Self-Check 1. 3-3Compare your answers with

Answer Key 1.3-37.Perform Job Sheet 1. 3-1 on

how to prepare Journal entry

with 100% accuracy


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INFORMATION SHEET No.1.3-1

GENERALLY ACCEPTED ACCOUNTING PRINCIPLES

Learning Objectives:

After reading this information sheet, you should be able to:

1. Identify the Generally Accepted Accounting Principles.

2. Explain the importance of Generally Accepted Accounting Principles

(GAAP)

GAAP is an international convention of good accounting practices. It is based on the following core principles. In certain instances particular typesof accountants that deviate from these principles can be held liable.

The Business Entity Concept

The business entity concept provides that the accounting for a business or organization be kept separate from the personal affairs of itsowner, or from any other business or organization. This means that theowner of a business should not place any personal assets on the business balance sheet. The balance sheet of the business must reflect the financialposition of the business alone. Also, when transactions of the business arerecorded, any personal expenditures of the owner are charged to the ownerand are not allowed to affect the operating results of the business.

The Continuing Concern Concept

The continuing concern concept assumes that a business willcontinue to operate, unless it is known that such is not the case. The valuesof the assets belonging to a business that is alive and well arestraightforward. For example, a supply of envelopes with the company's


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name printed on them would be valued at their cost. This would not be thecase if the company were going out of business. In that case, the envelopes would be difficult to sell because the company's name is on them. When acompany is going out of business, the values of the assets usually suffer

because they have to be sold under unfavourable circumstances. The valuesof such assets often cannot be determined until they are actually sold.

The Principle of Conservatism

The principle of conservatism provides that accounting for a businessshould be fair and reasonable. Accountants are required in their work tomake evaluations and estimates, to deliver opinions, and to selectprocedures. They should do so in a way that neither overstates norunderstates the affairs of the business or the results of operation.

The Objectivity Principle

The objectivity principle states that accounting will be recorded on the basis of objective evidence. Objective evidence means that different peoplelooking at the evidence will arrive at the same values for the transaction.Simply put, this means that accounting entries will be based on fact and noton personal opinion or feelings.

The source document for a transaction is almost always the bestobjective evidence available. The source document shows the amount agreedto by the buyer and the seller, who are usually independent and unrelated toeach other.

The Time Period Concept

The time period concept provides that accounting take place overspecific time periods known as fiscal periods. These fiscal periods are ofequal length, and are used when measuring the financial progress of a business.

The Revenue Recognition Convention

The revenue recognition convention provides that revenue be takeninto the accounts (recognized) at the time the transaction is completed.Usually, this just means recording revenue when the bill for it is sent to the


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customer. If it is a cash transaction, the revenue is recorded when the sale iscompleted and the cash received.

It is not always quite so simple. Think of the building of a large projectsuch as a dam. It takes a construction company a number of years tocomplete such a project. The company does not wait until the project isentirely completed before it sends its bill. Periodically, it bills for the amountof work completed and receives payments as the work progresses. Revenue istaken into the accounts on this periodic basis.

It is important to take revenue into the accounts properly. If this is notdone, the earnings statements of the company will be incorrect and thereaders of the financial statement misinformed.

The Matching Principle

The matching principle is an extension of the revenue recognitionconvention. The matching principle states that each expense item related torevenue earned must be recorded in the same accounting period as therevenue it helped to earn. If this is not done, the financial statements willnot measure the results of operations fairly.

The Cost Principle

The cost principle states that the accounting for purchases must be at

their cost price. This is the figure that appears on the source document forthe transaction in almost all cases. There is no place for guesswork or wishful thinking when accounting for purchases.

The value recorded in the accounts for an asset is not changed untillater if the market value of the asset changes. It would take an entirely newtransaction based on new objective evidence to change the original value ofan asset.

There are times when the above type of objective evidence is not

available. For example, a building could be received as a gift. In such a case,the transaction would be recorded at fair market value which must bedetermined by some independent means.

The Consistency Principle


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The consistency principle requires accountants to apply the samemethods and procedures from period to period. When they change a methodfrom one period to another they must explain the change clearly on thefinancial statements. The readers of financial statements have the right to

assume that consistency has been applied if there is no statement to thecontrary.

The consistency principle prevents people from changing methods forthe sole purpose of manipulating figures on the financial statements

SELF-CHECK No.1.3-1

Identify the following.

_______________1.This is an international convention of good accounting

practices.

_______________2. It provides that the accounting for a business or

organization be kept separate from the personal affairs of

its owner or from any other business or organization._________________3. This states that accounting will be recorded on the basis of objective evidence.

_________________4. This provides that accounting for a business should befair and reasonable.

_________________5. It states that the accounting for purchases must be at


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their cost price._________________6. It requires accountants to apply the same methods and

procedures from period to period._________________7. This is an extension of the revenue recognition

convention._________________8. This provides that revenue be taken into the accounts atthe time the transaction is completed.

_________________9. This provides that accounting take place over specifictime periods known as fiscal periods.

________________10. This assumes that a business will continue to operateunless it is known that such is not the case.

Answer Key for Self-Check No. 1.3-2

1.Generally Accepted Accounting Principles (GAAP)

2. The Business Entity Concept3. The Objectivity Principle4. The Principles of Conservatism5. The Cost Principle6. The Consistency Principle


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7. The Matching Principle8. The Revenue Recognition Convention9. The Time Period Concept10. The Continuing Concern Concept


ACCOUNTING EQUATION



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LIABILITIES

CAPITAL


1. Familiarize the accounting equation.

2.Differentiate assets, liabilities and equities.

Business transactions affect the assets, liabilities, and proprietorshipof the business. These effects can be in the accounting equation.

ASSETS = EQUITIES

“Assets” include anything owned or possessed by the business which iscapable of being expressed in terms of money or possessing monetary values, and which, consequently is available for the payment of the debts ofthe business.

“Equity” include all the vested rights of person in the assets of the business.It is classified into the following:

1Equity of outsiders or amounts owing to persons other than the ownersof the business, technically known as “liabilities”

2Equity of owner, known in the accountant’s language as “capital”

EQUITIES

Since there are two sources of equities, one from the creditors and the otherfrom the owner, then we can express the accounting equation as:

ASSETS = LIABILITIES + CAPITAL


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Every transaction must be analyzed with respect to its effects on the assets,liabilities and capital of the business. A transaction involves at least two ofthe elements appearing on the accounting equation.

To illustrate, assume the following transactions:

Oct. 1- Mr. Juan Dela Cruz opened a motor repair shop and invested P100

000 cash.

A = L + C

Cash = + Gil, capitalP100 000 = 0 + P100 000

P100 000 = P100 000

Effect: Increase in asset, increase in capital

Oct. 3- He purchased repair supplies worth P25 000 on credit from Rosario Trading.

A = L + C

Cash+Repair Supplies = Accounts Payable+ Gil, capitalP100 000+P25 000 = P25 000 +100 000

P 125 000 = P 125 000

Effect: Increase in asset, increase in liabilities

Oct. 5- He bought a table and chairs for the business, P 6 000 in cash. A = L + C

Cash+Repair Supplies+Furniture = Accounts payable+ Gil,capitalP100 000+P25 000+P6 000 = P25 000 + P100 000(6 000)_____________________ = __0_________________0_____P94 000+P25 000+P6 000 = P25 000 + P100000

P 125 000 = P125 000

Effect: Increase in one form of asset, decrease in another form of asset

Oct. 12- Issued a promissory note to Rosario Trading to apply on hisaccount in Oct. 3.


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A = L +C

Cash+Repair Supplies+Furniture =Accounts payable+Notes payable+Gil,capital

P94 000+P25 000+P6 000 = P25 000 +P100 000 0 = (25 000) + P25 000 + 0P94 000+P25 000+P6 000 = 0 +P25 000 +

P100 000P 125 000 = P125 000

Effect: Decrease in one form of liabilities, increase in another form of

liabilities.

Oct. 15- Paid the salary of the assistant, P 2 000. A = L + C

Cash+Repair Supplies+Furniture =Accounts payable+Notes payable+Gil,capitalP94 000+P25 000+P6 000 = 0 + P 25 000

+P100 000( 2 000) = 0 +( 2 000)P92 000+P25 000+P6 000 = 0 +P 25 000+P 98000

P 123 000 = P 123 000Effect: Decrease in asset, decrease in capital

Oct. 20- Paid the note issued to Rosario Trading in Oct. 12. A = L + C

Cash+Repair Supplies+Furniture =Accounts payable+Notes payable+Gil, capital

P92 000+P25 000+P6 000 = 0 +P 25 000+ P98 000

(25 000) = (25 000) + 0________P67 000+P25 000+P6 000 = 0 +P98 000

P 98 000 = P 98 000

Effect: Decrease in asset, decrease in liabilities


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To illustrate the whole transaction using accounting equation:

A = L + C

Cash+Repair Supplies+Furniture =Accounts payable+Notespayable+Gil, capitalOct. 1 P100 000 = 0 +P100000

Oct. 3 _____ P 25 000 = P25 000 +0_______

P100 000+P25 000 = P25 000+100 000

P 125 000 = P 125 000

Oct. 5 (6 000) P6 000 = 0 + 0P94 000+P25 000+P6 000 = P25 000+P100 000

P 125 000 = P125 000

Oct. 12 _______0 = (25 000) + P25 000 +P100000

P94 000+P25 000+P6 000 = 0 +P25 000+P100 000

P 125 000 = P125 000Oct. 15( 2 000) = 0 +( 2000)

P92 000+P25 000+P6 000 = 0 +P 25000+P 98 000

P 123 000 = P 123 000Oct. 20 (25 000) = (25000+0________

P67 000+P25 000+P6 000 = 0 +

P98 000 P 98 000 = P 98 000


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Self Check No. 1.3-2

State the effects of the following transactions on the assets, liabilities andcapital by putting a check if there is an increase or decrease on them.

Transactions Assets Liabilities CapitalInc Dec. Inc. Dec. Inc. Dec.

1.Purchased supplies for

cash

2.Purchased equipmenton account3.The owner invested cash

in the business4.Paid the equipment


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purchased in no. 25.Borrowed money from

the bank to be used in

the business6.The owner withdraw

cash for his personal

use7.Purchased furniture and

fixture on account8.Purchased defective

furniture purchased inno. 79.Purchased additional

supplies on account10. Paid half of the loan in

no. 5

Answer Key for Self-Check No. 1.3-2

Transactions Assets Liabilities CapitalInc Dec. Inc. Dec. Inc. Dec.

1.Purchased supplies for


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cash √ √2.Purchased equipment

on account √ √3.The owner invested cash

in the business √ √4.Paid the equipment

purchased in no. 2 √ √5.Borrowed money from

the bank to be used in

the business

√ √ √

6.The owner withdraw

cash for his personal

use

√ √

7.Purchased furniture and

fixture on account √ √8.Returned defective

furniture purchased in

no. 7 √ √9.Purchased additional

supplies on account √ √10. Paid half of the loan in

no. 5 √ √


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JOURNALIZING OF PROPRIETOR ACCOUNT TITLES



1. Define journalizing.

2. Determine the accounting cycle.

3.Journalize transactions

Journalizing is the first step in the accounting cycle. It is the processof recording business transactions in a journal. In order to have apermanent record of an entire transaction, the accountant uses a book orrecord known as a journal. A journal entry is the recording of a businesstransaction in a journal. A journal entry shows all of the effects of atransaction as expressed in terms of debit and credit and may include an

explanation of the transaction. A transaction is entered in a ledger accounts.Because each transaction is initially recorded in a journal rather thandirectly in the ledger, a journal is called the book of original entry. The journal contains chronological or date wise record of business transactions,the account debited and credited their respective amounts. Each entry is


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recorded so that the duality or equilibrium or recording is maintained inequation form:

Assets = Liabilities + Owner's Equity

and

Debits = Credits

Steps for the Process of Journalizing:

Following are the steps involved in the process of journalizing a transaction:

(i) Determine the titles of the accounts involved.

(ii) Understand nature of the accounts.


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(iii) Apply the rule of Debit & Credit described above.

(iv) And make the necessary journal entry.

JOURNAL EXAMPLE

The following illustration draws upon the facts for the Xao Corporation.Specifically it shows the journalizing process for Xao’s transactions. Review

it carefully, specifically noting that it is in chronological order with eachtransaction of the business being reduced to the short-hand description ofits debit/credit effects. For instance, the first transaction increases bothcash and equity. Cash, an asset account, is increased via a debit. CapitalStock, an equity account, is increased via a credit. The next transactionincreases Advertising Expense "with a debit" and decreases Cash "with acredit."

Note that each transaction is followed by a brief narrative description;

this is a good practice to provide further documentation. For eachtransaction, it is customary to list "debits" first (flush left), then the credits(indented right). Finally, notice that a transaction may involve more than twoaccounts (as in the January 28 transaction); the corresponding journalentry for these complex transactions is called a "compound" entry.

In reviewing the general journal for Xao, note that it is only two pageslong. An actual journal for a business might consume hundreds andthousands of pages to document its many transactions. As a result, some businesses may maintain the journal in electronic form only.


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The illustrated journal was referred to as a "general" journal. Most businesses will maintain a general journal. All transactions can be recordedin the general journal. However, a business may sometimes find it beneficialto employ optional "special journals." Special journals are deployed forhighly redundant transactions.

For example, a business may have huge volumes of redundanttransactions that involve cash receipts. Thus, the company might have a

special cash receipts journal. Any transaction entailing a cash receipt would be recorded therein. Indeed, the summary total of all transactions in this journal could correspond to the debits to the Cash account, furthersimplifying the accounting process. Other special journals might be used forcash payments, sales, purchases, payroll, and so forth.


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The special journals do not replace the general journal. Instead, they just strip out recurring type transactions and place them in their ownseparate journal. The transaction descriptions associated with eachtransaction found in the general journal are not normally needed in a

special journal, given that each transaction is redundant in nature. Withoutspecial journals, a general journal can become quite voluminous.

PAGE NUMBERING

Second, notice that the illustrated journal consisted of two pages(labeled Page 1 and Page 2). Although the journal is chronological, it ishelpful to have the page number indexing for transaction cross-referencingand working backward from financial statement amounts to individualtransactions. The benefits of this type of indexing will become apparent inthe general ledger exhibits within the following section of the chapter. As analternative, some companies will assign a unique index number to eachtransaction, further facilitating the ability to trace transactions throughoutthe entire accounting system.

RECAP

The general journal does nothing to tell a company about the balancein each specific account. For instance, how much cash does Xao

Corporation have at the end of January? One could go through the journaland net the debits and credits to Cash (P25,000 - P2,000 + P4,000 - P500 +P4,800 - P5,000 = P26,300). But, this is tedious and highly susceptible toerror. It would become virtually impossible if the journal were hundreds ofpages long. A better way is needed. This is where the general ledger comesinto play.


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Self Check No. 1.3-3

Comprehension:Following are the steps involved in the process of

journalizing a transaction, analyze the following transactions. Write in the

blank the proper account titles.

Mr. Jon invests $5000 cash in the business. Let us analyze this transaction.

(i) Title of relevant accounts: 1.)________________ and 2.)________________

(ii) Nature of account: 3.)_______________________and 4.)________________


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(iii) Apply the rule: 5.)_____________________ Debit and 6.) ____________Credit

(iv) Journal entry: 7.)___________ Debit. and 8.)___________________9.)Credit

P_____________

10.The transaction above is also called as__________________________


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Answer Key for Self Check 1.3-3

11. Cash12. Capital13. Assets14. Equity15. Cash16. Capital17. Cash18. Capital19. 5000

10. Journalizing


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JOB SHEET No. 1.3-1

Title: Prepare Journal Entry

Performance Objective:

Given one Learning Outcome on Preparing

Journal Entry, you should be able to

journalize transactions.

Supplies and Materials:

• Calculator• Paper

• Learning Materials

• Pencil

• Eraser

Steps and Procedure:

1. Based on first month’s operation of Mr.

Rose (refer to transactions below) determine

the titles of the accounts involved.

2. Apply the rule of debit and credit .

3. Supply an explanation of each


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transaction whenever necessary.

4. Make the necessary journal entry for

each transaction.

Assessment Method:

• Written test

• Practical/performance test

• Interview

JOURNALIZE TRANSACTIONS

The following transactions relate to the first month's operation of Mr. Rose:

(January 1) He invested a total amount of P70000 in the form of cash,P45000 land valued at P5000 and building valued at P20000. (January 2) Deposited P15000 cash into the bank.


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(....3) Purchased merchandise for cash P3000. (....4) Merchandise purchased on account from ABC and Company P10000.

(....5) Purchase a Delivery Truck from XYZ Autos P20000 and issued aPromissory note. (....6) Cash sales P5500. (....9) Sold merchandise to MS & Co. P7500 on account. (....12) Purchased two plots of land for cash P15000. (....14) Purchased merchandise from NS & Co. for P15000. (....15) Cash sales P7500. (....16) Mr. Rose withdrew merchandise-costing P500 for personal use. (....18) Made full payment to ABC & Co. by cheque for merchandisepurchased on credit. (....20) Paid through cheque P1800 for a television advertisement.

(....25) Mr. Rose made an additional investment of P25000, which isdeposited into bank. (....26) Received cheque of P5000 from MS & Co. and deposited the sameinto the bank. (....27) Withdrew cash from bank for office use P5000.

(.....28) Paid electricity bills for the month P500. (....29) Issued a cheque of P6000 to NS & Co. (....30) Paid salaries to staff P3000.


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(....31) Owner withdrew from bank P2500 for personal use.

Required: Journalize the above transactions.


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PERFORMANCE CRITERIA CHECKLIST NO.1.3-1

Did you…. YES NO

-prepare journals in accordance with industry practice and

generally accepted accounting principles/Philippine

Financial Reporting Standards for transactions and events.

-determine debit account titles in accordance with chart o

accounts.

-determine credit account titles in accordance with chart of

accounts

-prepare explanation to journal entry in accordance with the

nature of transaction.

-prepare journal entries with 100% accuracy


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Comments/Suggestions:

Trainer:_____________________________________Date:____________________


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