Accounting Equation

1. Click at a cell A5 and type C5 + E5, but do not press Enter.
2. Place the + at the bar end - until it turns + and drag it to A7 and release the button. This how to copy.
3. Type the Labels and + and  – signs at cells A9,B9, D9 and E9 as shown in figure 1.1
4. Click at cell 11 and type = press             to C11, type  – press             to E 11 and press Enter . This is how make formula
5. Click at cell A11, place the + at the bar end – until it turns to + and drag it to A13 and release the button.
6. Type the Labels and + and – signs at cells A15 and a16, B16, C16 , D16 and E16 as shown in Figure 1.1
7. Click at cell A18. Now make the formula by following the #12. Then copy the formula up to A20 by following #13.
8. Now enter the amounts (without commas) below at cells indicated and compare the results as shown in figure 1.1 At

1.  
   •  C5      40000
   •  C6      50000
   •  C7      60000
   • E5       80000
   •  E6      100000
   • E7       120000

1. Now enter the amounts below at cells indicated at :

·         C11     120000

·         C12     150000

·         C 13    180000

·         E11     80000

·         E12     100000

·         E13     120000 

1. Click at cell C11 and drag to C13 , click Copy Button on the Tool bar          , then click at cell C18 and press Enter. Note another way of     copying. The click to C5 and drag to C7, click copy button on the tool bar then click at cell E18 and press Enter. See results.
2. Insert your USV in the drive and click SAVE on the tool bar.
3. Type Equation, click SAVE in the box then reopen your File to review what you have learned. See Figure 1.1 in the next page for comparison.

Activity 1B: Repeat the process but substitute the given values as follows: 

1.  
   •  C5      400000
   •  C6      500000
   •  C7      600000
   • E5       800000
   •  E6      1000000
   • E7       1200000

·         C11     1200000

·         C12     1500000

·         C 13    1800000

·         E11     800000

·         E12     1000000

·         E13     1200000

The Expanded Accounting Equation is as follows:

ASSETS = LIABILITES + (OWNER’S EQUITY + REVENUES -EXPENSES)

100,000 =      10,000      +   (50,000                 +    50,000        –       10,000)

Activity 1C

Machine Problem 2:

Record the following business transactions using the Expanded Accounting Equation Form using Microsoft Excel.

1. Ms.  Sun invested P 150,000 cash so open his beauty parlor business.
2. She purchased parlor supplies P20, 000 on account from Bing.
3. Purchased equipment P 50,000 paying only 50% as down payment and the balance she issued a promissory note to HBC.
4. Paid advance rental for the parlor 4,000 for 2 months.
5. She received cash for service rendered P 30,000
6. Pay the supplies in full acquired from Bing.
7. Billed customer for service rendered P 40,000 and received a 15 days note P10, 000 from other customer.
8. Paid accounts with HBC P10, 000 only.
9. Pay salaries P25, 000 and pay utilities 3,000.
10. Ms. Sun made cash personal withdrawal P 5,000.

Requirements:

1.      Do activity 1B using Machine program # 1

2.      Record the transaction in Activity 1c using Microsoft excel .