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Problem 1 5. What is the amount of total assets on December 31, 2019? Waltermart Company kept very limited records, on January 1, 2019. Waltermart Company started business and issued share capital, 60,000 shares with P 100 par, for the following considerations: Problem 2 Cash 500,000 Building (useful life, 15 years) 4,500,000 Land 1,500,000 Yehey Inc. started a retail merchandise business on January 1 2019: During the fiscal year ended December 31, 2019, the entity paid trade creditors P2,000,000 and suffered a net loss of P350,000. An analysis of the bank statements showed total deposits/including the original cash investment, of P3,500,000. The balance in the bank statement on December 31, 2019, was P250,000, out there were checks amounting to P50,000 dated in December but not paid by the bank until January of next year. Cash on hand on December 31, 2019 was P 125,000 including customers' deposit of P75,000. The ledger account preclosing balances on December 31, 2019 include the following: Accounts receivable 600.000 Accounts payable 750,000 Capital (total investment in cash) 2,000,000 Expenses (paid in cash) 100.000 Merchandise (unadjusted debit balance) 700,000 There were no withdrawals. All sales and purchases were on credit. The merchandise account is debited for purchases and credited for sales. During the year, Waltermart Company borrowed P500,000 from the bank and repaid P 125,000 and P25,000 interest. The proceeds of the loan were credited to the bank account of Waltermart Company. Disbursements paid in cash during the year were as follows: Utilities 100.000 Salaries 100,000 Supplies 175.000 Taxes 25,000 Dividends 150,000 Questions 1. What is the amount of sales for the year? 2. What is the cash balance on December 31, 2019? 3. What is the merchandise inventory on December 31, 2019? An inventory of merchandise taken on December 31, 2019 showed P755,000 of merchandise. Tickets for accounts receivable totaled P900,000 but P50,000 of that amount may prove uncollectible. Unpaid Tiers invoices for merchandise amounted to P350,000 Equipment with a cash price of P400,000 was purchased in early January on a one-year installment basis. During the year, checks for the downpayment and all maturing installments totaled P445,000 The equipment has a useful life of 5 years. Questions: 1. What is the total cash on December 31. 2019? 2. What is the amount of sales for the year? 3. What is the amount of purchases for the year? 4. What is the net income for the year

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