NAME: ____________________________________________

SECTION:__________________________________________

ADJUSTING OF ENTRIES 01
Problem 1 – On Oct. 1, 2015, Calaguas Company acquired a 3-year insurance policy for P36,000 paid in advance.
(Dec. 31, 2015)
Problem 2 – On July 1, 2015, Marasigan Company received a P48,000 check for 2 years paid in advance. (Adjust the
entries for Dec. 31, 2015)
Problem 3 – On May 1, 2019, Mr. Cruz paid P16,000 for month’s rent in advance. (Asset will expire at the end of the
month)
Problem 4 – Mr. Bing acquired a 1-year insurance for his car for 18,200. (Asset will expire at the end of the month)
Problem 5 – On May 1, 2018, the company paid 3,500 for 1-year fire insurance, the company closes its book on
Dec. 2018
Problem 6 – Mr. Sy purchased supplies, 180,000 during the month, the entity used supplies in the process of
performing services for clients. The inventory count showed that supplies costing 125,000 are still on hand.
Problem 7 – On July 1, 2018, ABC Company received 58,000 check paid in advance.
Problem 8 – ABC Company began on November with Office Supplies of 32,000 during the month, the ABC company
purchased office supplies of 27,000. On Nov. 30, office supplies on hand totaled to 47,000. Supplies expense for the
period is ________
Problem 9 – On May 1, 2018, Mr. Sy acquired a 5-year insurance policy for P120,000 paid in advance.
Problem 10 – On June 1, 2018, ABC Company received a P50,000 check for 2 years’ rent paid in advance.
Problem 11 – Mr. Matapang purchased 5,000 worth of supplies on account. By the end of the month, 2,000 worth of
these supplies are still unused.
Problem 12 – Athena’s company acquired a one-year insurance on the service vehicle and paid P15,000.

ANSWER:
1. 7.

2. 8.

3. 9.

4. 10.

5. 11.

6. 12.