Required: Journalize and post adjusting closing entries Additional information: a. Supplies on hand at Dec. 31 amounted to P4,700.b. Salaries of P1,800 have accrued at month-end.c. Depreciation is P800 for December.d. Detoya has spent 20 hours on a tax fraud case during December. When completed in January, his work will be billed at P500 per hour. Note: The firm uses the account Fees Receivable to reflect the amounts earned but not yet billed. Edgar Detoya, tax consultant, began his practice on Dec. 1, 2014. The transactions ofthe firm are as follows:Detoya invested P150,000 in the firm.Paid rent for December to Recoletos Realty, P8,000.Purchased supplies on account, P7,200.Acquired P75,000 of office equipment, paying P37,000down with the balance due in 30 days.Paid P7,200 on account for supplies purchased.Paid assistant's salaries for two weeks, P6,000.Performed consulting services for cash, P20,000.Paid assistant's salaries for two weeks, P6,000.Billed clients for December consulting services, P48,000.Detoya withdrew P12,000 from the business.Dec. 12238.1420283031

Adjusting entries are those entries which are passed at the end of the year in order to reflect…

Required: Journalize and post adjusting closing entries Additional information: a. Supplies on hand at Dec. 31 amounted to P4,700. b. Salaries of P1,800 have accrued at month-end. c. Depreciation is P800 for December. d. Detoya has spent 20 hours on a tax fraud case during December. When completed in January, his work will be billed at P500 per hour. Note: The firm uses the account Fees Receivable to reflect the amounts earned but not yet billed.

Required: Journalize and post adjusting closing entries Additional information: a. Supplies on hand at Dec. 31 amounted to P4,700. b. Salaries of P1,800 have accrued at month-end. c. Depreciation is P800 for December. d. Detoya has spent 20 hours on a tax fraud case during December. When completed in January, his work will be billed at P500 per hour. Note: The firm uses the account Fees Receivable to reflect the amounts earned but not yet billed.

CONCEPTS IN FED.TAX.,2020-W/ACCESS

20th Edition

ISBN:9780357110362

Author:Murphy

Publisher:Murphy

Chapter6: Business Expenses

Section: Chapter Questions

Problem 22P

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