Entity XYZ is a national government agency. Some of the major transactions of the agency for the year 202X were as follows: 1.The approved legislative appropriation for the year was 1 Billion. 10% of...





























Entity XYZ is a national government agency. Some of the major transactions of the agency for the year 202X were as follows:


1.The approved legislative appropriation for the year was 1 Billion. 10% of this appropriation was alloted by the Department of Budget and Management (DBM) to Entity XYZ.This allotment is broken down as follows:


Capital Outlay  50%


Maintenance and other operating expenses (MOOE)  40%


Personnel Services (PS)  10%


2.Received Notice of Cash Allocation (NCA) from DBM, P20 million,net of tax


3.Obligations were incurred as follows:


Capital Outlay  5million


Obligation for (MOOE)  3million


Personnel Services (PS)  2million


4. Delivery of office equipment and office supplies on account:


office equipment  3million


office supplies  200,000


5.Payable to officers and employees upon approval of payroll:


Salaries and wages  P1,000,000


Personnel economic relief allowance(PERA)  150,000


Gross Payroll  1,150,000


Less:Deductions


Withholding Tax  P35,000


Government service Insurance system (GSIS)  55,000


PAG-IBIG  4,000


philhealth  3,000      Total deductions  97,000


Net P1,053,000


6. Grant of cash advance for payroll


7.Liquidation of the cash advance for payroll


8.Remittance of salary deductions,except the withholding tax,which was included in number 15.


9.Billing of Revenue/Income:


Registration Fees  400,000


Permit Fees  300,000


other service income  200,000


10.Collection of the registration fees.


11.Remmittance of the collected revenues to Bureau of Treasury (btr)


12.Pqyment of the following MOOE


Electricity  50,000


Telephone  30,000


Janitorial  20,000


less:withholding tax (5,000)


Total  95,000


13.Payment of accounts payable of P1,500,000,net of withholding tax of P150,000.


14.Receipt of NCA for Tax Remmittance Advice (TRA) of P190,000.


15.Remmittances of taxes withheld thru TRA.


Required: Prepare a journal entry for number 7 to 15.














Jun 01, 2022
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