Saint Michael the Archangel Academy, Inc.
Orion, Bataan
LEARNING MODULE
TLE 10
Week 5
Give the value received and value parted with in the following transactions.
TRANSACTIONS VALUE RECEIVED VALUE PARTED
WITH
Right to occupy cash
space
supplies cash
advertising cash
service
furniture Obligation / debt
equipment Obligation / debt
cash service
receivable service
Cancellation of cash
obligation
Cancellation of cash
obligation
TRANSACTIONS VALUE VALUE
RECEIVED PARTED WITH
Receivable service
cash cancellation of
receivable
service cash
cash Cancellation of
receivable
supplies Obligation /
debt
service cash
TRANSACTIONS VALUE VALUE PARTED
RECEIVED WITH
Supplies cash and
obligation
Receivable Service
Equipment obligation / debt
Service Cash
Cash and Service
Receivable
ACCOUNT TITLES
ASSETS – are economic resources owned by the business
ASSET TITLES
1. Cash on Hand – coins, currency and other cash
equivalents owned by the business and not yet deposited
in the bank.
2. Cash in Bank – Cash in bank is the unwithdrawn deposits in
the bank. Usually the name of the bank is used as the account
title.
3. Notes Receivable – amounts collectible from customers for
goods sold and services rendered on credit or from others for
loans granted. Such claims are evidenced by a promissory
note. A promissory note is a written promise to pay a certain
amount of money on a specified or determinable future date.
4. Accounts Receivable – Claims from the customers arising
from goods sold or services rendered on credit.
5. Merchandize Inventory – goods purchased by the business
to be sold at a profit
6. Interest Receivable – interest earned on notes on hand
which has not been received cash
7. Furniture and Fixtures – it includes tables, chairs,
showcases, counters, and other similar assets owned and
used by the business in its operation.
8. Equipment – It includes typewriters, calculators, cash
registers and other similar assets.
9. Delivery equipment – assets used for transporting
merchandise
10. Land – land owned by the business used fro building sites
11. Building – building owned and used by the business in its
operation
LIABILITIES – are debts or obligations of the business to a
party than other its owner
LIABILITIES TITLES
1. Notes Payable – Amounts due to the creditors which are
supported by a promissory note
2. Accounts Payable – amounts due to creditors for the goods
or services bought on credit
3. Salaries Payable – Amounts due to employees for services
they have rendered
PROPRIERTORSHIP TITLES
1. Owner’s Capital – Amount of capita; contributions of
the owner to the business
2. Owner’s Drawing – amount withdrawn by the owner
from the assets of the business
INCOME TITLES
1. Sales – total sales of merchandise sold.
2. Professional fee Income – amounts earned by the
professionals such as CPAs, doctors, lawyers et. For the
service they render.
3. Rent Income – amount of rental earned for the period.
4. Service Income – amount of income earned from services
rendered of a service concern business.
5. Interest Income – amount earned for lending money.
EXPENSE TITLES
1. Cost of Sales – cost of goods purchased and sold or
materials manufactured and sold
2. Advertising expense – expenses incurred to promote the
product of the business
3. Salesmen’s Salaries – compensations given to the sales
agents
4. Office Salaries – compensation given to the employees
5. Taxes – duties incurred in the current period
6. Utilities Expense – Amount of light and water consumed
by the business.
7. Repairs and maintenance – expenses incurred for
repairing the assets of the business
Increase in assets = Increase in proprietorship
Increase in assets = increase in liabilities
Decrease in assets = Decrease in proprietorship
Decrease in assets = Decrease in liabilities
Increase in one form of asset – Decrease in another form of asset
