ACCOUNTING PROBLEMS

The following transactions pertain to Pressy Denty Clinic for the year 2016:
1. Paynoy, the owner, established the business by investing P300,000 cash.
2. Paid business license, P10,000.
3. Paid advance rent for six months to Dodirty, P60,000.
4. Purchased office equipment on account from Grasya Puto, P150,000.
5. Paid advertising for the month Mer Kickyam, P15,000.
6. Purchased P5,000 worth office supplies from Bae Nanay.
7. Paid accounts payable from Grasya Puto (4) , P100,000.
8. Received cash from clients, P200,000.
9. Paid salaries of Marie Ahas, P25,000.
10.Withdraw cash, P30,000.

Analyze the above transactions and determine the proper account to be debited and
credited. Refer to the following Chart of Accounts.
Cash
Office Supplies
Prepaid Rent
Office Equipment
Accounts Payable
Paynoy, Capital

Paynoy, Withdrawal
Service Revenues
Salaries Expense
Rent Expense
Advertising Expense
Taxes & licenses Expense

Required:
a) Journalize and post the above transactions.
b) Prepare the following financial statements:
i.
Statement of Comprehensive Income
ii.
Statement of Financial Position
iii.
Statement of Changes in Owners Equity