~~~~~~~ti~ngtP~r~oc::es::_s
_ _-------....:._---._?i
!_he
Government Accoun
~
chapter 3
.
.
The Goverriineiii Accountirig Process
£earnine 06jectives
. ·.
~ transactions of a
Record the bas1c;
.
1.
2. Prepare a worksheet.
· ·
.
government entity.
Introduction
.
. .
. Toe ·goven:unent ac~ounting· proce~~ comprises the ac~vities of
;! '
ii ,·
;; . 1-' : ~alyzing, · recording, . c~assifying,
summarizi~g
aild
' ,
I.
. communicating transactions involving-the receipt _and· disposition .
_ of g~~emment ~d~ and property, cµtd int~rpr~ting the results there~f:·~s prp~ess ·is simi.la~ to ~~t of a business ~tity, except
i''
''- ~t_1t ~corporates budgetary controls, such as r~o~ding in the
I1
1.
I ~ •;
I .
' , L
.
bu~g_e_~- -re~tries and, preparing periodic, budget ·_ accountabili~ .
reports. ·
·
·
I
I tj
I' .
'
I
' I
~
i •
I
. , I
l
..
.
,
: :J • ~ ' ''
' ! . .-..· . '·. ..
.
.
'
.
B<?o~.df Accounts and Registries .
~e boo~ of accounts. and · registries :of government entities ·
consist of:
··
·
··
1. · Jouinais
: ··· _·.- - a.·: ·GeneialJoumal
.
:b_. Cash Receipts .joumal·
·" . -.c. . Cas~ Disbursenjen~ Journal
d. Check
l?~b~seme11ts
Joumal.
.
.
.
.
.
2._ Led.gers --_-.
.. a~ · ·Ge!l,er_al Leq.gers ·
. b. ·Sub~idiary Ledgers_ ·
.-
'
Scanned with CamScanner
The Government Accounting Process
53
.
\
.
· 3. Registries
a. Registries of Revenue and Other Receipts (RROR) .
b. · Registry of Appropriations and Allotments (RAPAL) .
. c. - Registries of AJlotments, Obligations and Disbursements .
(RAOD)
··: ·
I
. d: Registries of Budg~t; Utilization .·an_d Disbursements
(~BUD)'
·,
.
I,
! •
-
.
.
· Te~hnically, only the-J~urilals arid Ledgers ·iue .considered
acco·un~ing·records. These are similar to the accounting records of a
- busm.ess·'enti_ty. ~e Registrie's '.~re_bti.dget records.- U,.ese are used to
. m9~tor' ~e. budget. You· 'may ··thmf .- of' the -registries like
"iogbqo~" or something~_rather:than·accounting books with depit .
, and cr~dit columns. The accpuntzng-unit .of the agency mairtt~s :
· .the·Journals a~d Ledgers while .the budget division,of the agency
_maintains the_Registries.
· · · ' ·. · ·· .
· · ·
-Recall -· tl-iat' .sep~afe .accounting reccn:ds ' and budget
· · registries·are maintain~d 'fbr each fund cluster (1:t~.~·Regular Agency
Ftmd, Eoreign Assisted Projects _Funci; etc'. - see.'Chapter 1). ·'" . :. .·
.
'
/'
..
.
Bu9gef Registries ·
. .. .
~~ ~sed· tq . ·
- . mo~tor .· ·the p~dgeted . ~~ouhts, ·.~ctqal ¢ollections and
r_erriitt~c~s of revenue ·a nd o~e~ receipts.
\
..
. ·-'
.2. Registry ·of Appropriations an_
d Allotments (11/iPAL) .:. . use~ to
· ...•\ ~qnitor appropriations and ~lof:me~t~: This-is _to ~~sur~ that ·.
~ . -· ~lotrne~ts "Yill ?-lot 'exceed apprqpria,tions.-.. · .
'.J._. _
Registries
of Repenue and Qth'er:_ J<eceipts (RRQRJ
· - ~- R~gis; ies of A!{otmerits,·Obliga.t{~~~-arid,f?i~bur$e~e!1its (RAOD!_~,- _·_
· . used to :monitor the allotments received, pblig~tions i,ncurred
. ··..· ; gctjnst . the coqesponding·. al!~tment, - ·ai:id· .the . actual
- · disbursements made.. This is 'to ensure that obHgatfons
·incui-red ~ - not ,- exceed allotments while .actual
•·
.
.- disbursem~nts will not ex~eed th~ opligations incurred:·
Scanned with CamScanner
l
Chapter 3 .
~54~-------------..!......:.--.._
Separate
expenditure. Object of Ex
RAOD -shall be maintained for each object 0,
·. .
'J
ehditures
.
.
.
. .
The classificatj.or:ts of e,:c.pen~itures ~Y. op1ect_are as follows . ..
a. Person~el Services (PS) - - pertain_to all types of employee
benefits, e.g., sala~ies,,bon~~es, allp;w~ces, ca~hlgifts, -~tc. •
•
-
•
'
..
- •• '
,
•
I -
,.
..
I
..'
•
-
b ~- Mainte?ftlnfe a,uJ.._ Qt~er,·. Ope~flti.ng. Expenses _ (MOOE) . -
•
p~rtain .. \o ~a_rious _op~r~ting : expei:ises o~er tJ:l~ ·e~p~oyee
bene~ts .and -~ ~~ ~ -e~p~_t:tses, :~.g.r, tray~~, _utilities, suppµes,
..etc.
J'
•
•
•
• J.
.
\.
I
1
•• J
. c: Fjnancial Expenses (FE) - p~rtain to ·£:ir).~c~ co_sts, e:g., ~t~~~st _
· _ expense, bru:ik ch~ge~" ~tc. ·fm.~ ga1 .expenses also incl~de.
losses on foreign ex~~g~.tr~actio~.- ·., .
. .
(
"
.
,
'd. Capital Outlays (CO) ·._ p~rtain tojcapitalizabl~ expe~ditur~s,
e.g., ~xpenditures on. -the con~truction of public
infrastructures; acquisition.c~sts of equipip.ent,.etc. - .. . -. -- ' .
.
: ', .
. Accordµlgly, ·the -foUo:wmg sepa~ate RAODs shall be.
ni~tained: (a) MOD-PS/ (b) _RAOD-fyIOOE; (c). RAOD-.fE;_
and (d) RAOD-CO.
- .
r •
~
- ..••
1· , Registries
of. Budget,· Utilization' and bisbutsements (RBUD) used to record the approve" . spedal .. budget .and the
corresponding u~izations : and disbur~ements charged to
ret~ned inc?me. ~eparate RBUDs are also'maintairted -for eafh·
. obj~ct.of expen~ture~ i:e., (a) RBUD-PS; (bf RBtm-MOOE; (c) ,
RBUD-FE; and (d) RBUD-CO. _· · .
.
• ;
I •
•
'
...
,.
,
L
:,,
Scanned with CamScanner
The·Goverm~ent Accounting Process
55
- . Keeping of th~ G~neral Acc9unts
. ,
The COA shall k~ep .the general account$-~£. the Cov:eq:unent aid·
.p·reserve the v_oµ~h'e_rs.~d othef ~uppor~ing·docl.Wl~nj:s. :
Basic Recordings ·
I.
Appropri_ation ·•·:· . .
"',:,
I
•• ••••
• · ·· · , - -- -
•• ,
•
Entity A(~ government agency) receives its GAA con~istmg of the - .. . . .
. following:
. .
.
·
,
··
. ·· -·
J
- .
• I - .· '
. Per~onnel-Seryices .(PS) ., --
_. ·-=:· . ·-
•
. ·..
·Ma~tena:ii;ce ahd-~ther ~Qp~i~ti~gE~p~n~eslMQOE) .- ··.. . ~60,000
. I
Fin~cial Expenses·(FE) ,·. · -. · · : · ~-, . :· -' . ,: ,i..··· · ·
.1 .• • . ·
· : ·
·
Capitaf Outlays.(CO) · .·
. - ·,- :
. 200,·oo,o "Total ~appropriati~nJo; th/~urr.int·y~~! ib~1 -,, . .. ·. ·, .· :·.· . ·. -.) · ·360,000 _.
- .. ,
. .., ... 100,000
-
1
_
!he-receipt of the ·approp~a~on.is po-i ted (r~cor_d~df~t!ie
Registry of Appropriations and
Allotments
(RAPAL) ·as follows: ,.
·
<. .•
. ....- . . . .
. . .. - -·· ...
-
t ...
. .
C
r
..
Eatll)'Na:~ .
• ••
..
..
,.
.
..
REGISTRY OF APPROPRIATIONS AND ALi.otMENTS ..
-.. . -·
.
·,
-
Fad<llsler:imbl'AltlCYfud
-
__,, .
:
·~
,:
' ..
-·
--
'
/ .
-
,
j.
:
'.
.
..
I
, .
'·
,
. .,
~
_:-.. ~ h 1niiiriatlolS
Uutlmetl AIDl'OllriatlolS
l Allolmts
'
Ps'
MOOE
FE
Total
-PS
·
MOOE FE.· co·. · tobl
co
PS -MOOE FE CO '. 'Tobi
..
.
..
.lfllil OM 100,rol .60,et,3 ~-' 200,((1) • 360ro3 ·
·'
.
·
1
·
..
..
Date' =M. -_ . .
-,
.
r
•
.,
10
•
:· . Allofrnenf- ..;•,·. -._.--~·· . .
_-:·.·., .
,_ . ·
. ,_
..-·:Entity A. ·receives .its'•alloµn ent ··frbnt ilie DBM consisting ot the- .- .
·fo:llowing~_
· ·
.· ,,_. ;
: · · -- · · · · ·· ·
. i,
•.,"
:
•
. ...
.. ..... · ....
... . · 90,0d0
eersonnel.Serv,ices_(PS) -,...·:_ ,:. --·. _ . ___ .
:.·M~t~nance:and Other.Ope_t~~g,E~pepses (MO<?,E). ,· . - . 40,0Q0
,. .
'
. ' F~~~~~ Exp~nses (FE)
~
-.· · 170 ooo~
·. Capital Oµtl~ys-.(CQ) .- - ..
.. ,. Total allotm~nt - .· ·-,· · .
· ·" ..
: 300,000
.
I.
.
;
• . •-
- .:'
.
.
.
::
~-
.
•.·
•
I
,
r.
Scanned with CamScanner
·-----alli::ents
~56~------.
t is
Chapter 3 .
·----
posted (recorded) in the
and
The receip~ o_f the
(RAPAU
RegiStriefaJ
Registry of Appropnations an~
ents (RAOD) as follows:..
.Allotments, Obligations an4 Disbu,:sem
.
. .
• I
-
...
. RIGISTRY OF APPROPRIATIONS AND ALLOTMENTS
•
.· ..
: ..
EalM)'Nm: f!ti ·
~-cialer: kW -
I
I ••
.
F•
:
-
:
-.
..
I I
\
-
•
I
:
!
..'
..
•
-
~
Ulftlmed .bit, IDrlatias ~
'
ADasis
- _Aanrlalllis
'
co
PE
MOOE
llbl
Dali let
PS
T.W
co
·n
., .
PS , MOOE FE co ··yiti} PS MOOE.
-.
'
Jnlrl GM 100,l)) 60.tol . 1200.tol 3$),0CIJ
30.COl lCOl
40,(1)) . 170,(1)) 300;(1)) iO,(I)) 20,ro:I
90.tol
l/Jfxl
-
GMRD
.
I •
I
..
.
_,.
-
·
, ..
..,
I
·.-:.
..
. I
.., .
. ·,.
RAODs · - -:,. ·:
.
.
'.
.
- -
-
.
...
.
REGISTRY
OF-ALLOTMENTS,-OBLIGATIONS
.AND·DISBURSEMENTS
-~~--..·,
•
•
•. ·
-••
t-_........ .
- .;,.,,.•--·
.,
.
-. •. .PERSONNE~iSE.~ VICES ·.
-.
.
. ._ : ·
·.
-For the. year 10Xl
··. ;,_. .
)
Name: 1!!ittA- .
, . Eatlty
~~ Cbater: Rmlar MfflY Fpd~-· - ·
.
.
' •
■
....
..,
•• -
,.,.
-
\,
. -:- . 111/xl'
'
. . . 90.000 : ·. . . . ,·
·...... ·. .
''
..
. ·.- ..
REGISntY' OF ALLOT....,N
· ·rs OBUG
. ~- : ,. . . . .
- .
.
· · ··
nu,
1•
n.TIONS AND -DISBURSEMENTS '.
.MAINTENANCE AND OTHER
·· . ·
·
. .
.' '
' ·.· . .
. : or~~TIN,,G EXPENSES.
j.f
~or the.year 20x1 · . .. ·--:: .. "· ~- ~ ~ · _. -,
· · ·
'•
• - ":' •
•·
~•te .
'
..
--
.
• •• 1 • :
... ..
•••
~
-
Rd.
,·,t... . .
..· ·.
...
'
.. .·.._./_·_. . .
' :,..
.
~
,.','
:.-
Scanned wit h CamScanner
:
l
'[he Government Acq1unting Process
-
. 57
.,
-
. RE9IS_TRY pF ALLOTMENTS, OBLIGATIONS AND DISBURSEMENTS·
CAPITAL OUTLAYS
.
.. .
.
.. .
'
'
For the year 20xl
:
•:
..
EatttyName: ~
Fad O.iter : Rgalar Agpcy (yd
..
.
'
..
'
Allotmats
Rd.
Datt
.:>bllptiou
J/2/x1
'
UaolJJlaattd
AlloblltDts
,.
..
.. 170000
'•
. ·-
✓
'
UDDald ObU.adou
·. NorYet
Due and
..
Dbhantmt11ts
.Due and ·
Demandable ·
Dcmandable
-
-
'
.....
tncurrence of Obligati~n
Obl.igation Reque·st and Statu·s (ORS) . ·.. .. :. • ·· · · . .
:. :
_Obligations -~h.all-' be ~~tied thtqµgh .thits~su~~e Ob(jgat[oJJ
Reqlfest_i nd St~~u5. (ORS). The_Requ_
espng Office-shall-prepaie·.~s
9(
. document, -supported by valid claim.-docwnertts like·disbursement
vouchets~payrolls, purcbase/jop ordei:s, itineraiy,_of travel, etc~. :.:
·. -.. . ~~- Head of __ the Re:qµesting Qffice ~~,aJJ c~~- ~the "·_
n¢cessity-and .-legality_. of ..the obiigati<?h. and the. v.ali~.o / of- the :
supporting _.documents. The ·Heap: _of the ·Budget ·Divisi~n shall · . :
certify-the av,ailahilify of theiallotm.E:Jjf:·:.· . . '·. ;:.>. ~ ,.. ,. ~- - . .
)
;
•P
•
r
Entity·A eilt~rs.iflto the folio~g contracts?.
· : ·
,· ,._ ·.· . . -·
··a. ·. Personrt~l - ·seitjces: - Employment _· conrracts (Job ~Ord.et)
~o~~g-t6'p70;000.' .
.
--.. ~· --"· _..
1;,•. _¥~int~Q:ance . ~d Ot{ler .Oper~ting Services ·__ Pu~~h~~-e ·
· conJiacftor office·s~ppJ1e~
,;~s~~oo. ·__· · ...... ·· ., :·
c. _C apJ~l - Outlays - . Purch~se contract for offic•e · eq~~~rji~nt
-w9.~h
wor$ P160,000.
-
~ -; . . ,- ~ .. ~
~ ,-. :
........ ,.,:, •- .. ~- ~.t:..:...f~t~ . :· ·< . .. --.···
• ... •
I,,
.· ··"·.
!. •
•
r ••
.. .
.
·-
.
.. . .
.
, .
.-
'
-
• I
Scanned w ith CamScanner
Date : 1/3/x1
Fund_Ouster: Regular Agency p,,...,
~
=
==~======~t==~Pme~=+·~r-~8!,R. :•ll'
.:.. - lY~~~~============,===·=-- . . . . .=:
TmsT AND STATUS
[==~O~BLl~GA:11:0Nd~~-?,i'U~~"'...-~=·=·=··. =·
Office
Bi1()ffice
~ St. UttleTown
Human Rac,arceS
AdaiiJiimalion Office
Parda.. tn1er forofflc:e f!CIWP9':°'
~~
'
¥
•
•
·
~.i;on1anotmentare
·
B.
--..::.
~ : _Allotm¢~leandobliilfed ·.
for ibepurpo,dadjustment necesay as
:
. : .·
indicated~~ - .
"· -
tatiW: amgesto-w-vr. ·. .
. neoemry JJWfii1 md under my direct superv!SlOD; md
suppo,ting doamleD~ vali~ pr¢ md
Jepl
.
~
.
Signature _: . -~
-~
PrintedName: ,Girl1. Pid
Position, : . Head, Budget Division
Dale·
1/1/rl
. ;, ,
s~
~ -·- --,Pliml Name: Boy G. Astlis . . . .
. : Heail, R,,questingOffioe ·
Position
Daie
25,oee
l1_0.11t
25S~
Total
,.
·I _ ·-, . ·
'··-
llX1
llX1 '
•
.-
~
-
Ult
llXlt
' .
llXlt
lClll
Job Order (EmPloJllMllt (OlltndS)
Pardi.. order for ollke sapplMI .
. : . 111/xJ
· STATIJS OF OBLIGATION
..
_ Amount
. · . : •.
.,
- ..,_ -
__
C.
-:---
~
:
ParticulaB
Respomilrility Cem
...
UACS
Code
MFOIPA1
i..__...-!.Addrea~~-r---
··
Balm:e
Payable
ORSIJEV/Cbcck/ . ' Obligation
• ,nu N
AD,., IIV'I, o. : ' .. ·
-
_
(a)
10;000
25,000
l/3/xl
.Job Order
.·
l/3.ld · ~ sapplies,
,
1/3/xl • 01&.uq~llltl_lt _ •
;
..
•
.,
..
..
(b)
Not Yet
... .,, . : Due · ,
..
I ..
••
. , ... (c)
(a-b)
·-o · · --·_ _. ~
O
0 ., · .
H0,000
...
Due mi
Dcmandablc
.. • • •
Paymciit
·
.
~
.;l'b-c,
•
o·.
10,000 '
2$!~
·0 .
~ 0
-0
0 •
160,000
.-
.,.
:,.
\
·-.,
To simplify the illusqcition,: otjJy one·ORS i$' pre_s ~t~d for .·
_ ..
the three ~ontratts.._Separate ORSs shou~d ~e prepcll'ed for each of_
them.
.· -~ .:... .- . _, ; ;.- ..
. . ._ ·,The: ."pbligati~nsn, .-are.
i~ the.: -Registries . pf
'Allotments,-Obliga~ions and Disbursements (R40D) as foll()_w$: - _,·
1
rec~~ae·~-:.:.
1
• . .
.
, •
.,
-.-
-.
I,,
. . . ..
-
.'R'EGISTRY-OF ALLOTMENrs; OBLiGAT{ONS AND DISBURSEMENTS .
SERVICES
..
,.
.. : ..PERSONNEL
... .
,'I
•.
For the•year -201_{ ,
•
•
•
,
,
'
,
•
I
•
~
• ~•
'
:
_
_
,
•
•
~
•
•
•,
•
\
'
;
;-
-- ,,
'
EadCyN'ame: H!!!IA
-
:
Fud Chaster : Renb[ Alrmg: W!I·
-
•.
•.
r
'
Date
Rel.
Allotmmts
Obllptlou
Uaobllpted
Allotmeats
,
112/xJ
113/x]
,.
~
,·.
r
;: UapaklObUndoiis' .
Dbbariemeats,
-
~
.- Ducand
Demandablc ·
Not Yet
0ueaod
~
j
90000
'
70,000
;
20,000
'\
.'
0
0
-
;_
10~
,..,..,..,..
Scanned with CamScanner
;59
The Govemtnent Accounting Process
REGISTRY OF ALLOTMENTSi OBLIGATIONS AND DISBURSEMENTS
MAINTENANCE AND QTHER .OPJtRATING EXPENSES .
.
-· For the year ·2ox1
.
'.
I
-
I
Entity Namt: e!!!I.A
Fud Clnsfu I Ra!)ar AJenn: Fand ·
•,
I
..
\
p
•
••
Unpaid Obllutloas .
iw.·
Datt
Allotmuts
.
UaobU,.ttd
Allotments
ObU,1tloa1
I
,
· Not Yet
''.~c~d
Demanclable , Dueud
Dcmanclable
· Dlsbanemtats
..
''
''
~
40000
J/2/x]
J/Jlxl
.
25,000
/
-
I
15 000
i
0
'
•
·o ' -
.
.
'•
I
i
..
:
'
-
_1
..
· 25 000
•. ,
'.
.•
-
.
.
REGISTRY .OF ALLOTMENTS, OBLIGATIONS AND DISBURSEMENTS
•1
,
•
I'\
' : #.-..
• ;
·
. CAPITAL
OUTLAYS
·•
.
.I •, . ••
• .. • ·,
\.
••
_.
•
.
.
For·tbe yea1·.20.11 · ·
;
..
:
.,
'·
•,
Eiitltr Name:~-
.
._,, .
I
-
-
..
.
170000'
]/1Ji]
..
. 113/x]
160.000
'
~
-
•:
l -~
'
·Allotmeats • ObU,1tloas
1W.
I
'
Fud Cl-r : Renlar Aftaey Faad
Datt
\
-
'
.UaobU,1ted
Allotments
.,.
I
•
·,.
_,:
10.000 '. ,
·•
'
t'
#
:
'
and
·,
.
. _Uaplld.Obliptlom
''#
.
Not-Yet
'Due
Dueud
,
·-Dcuianilabte_ ·Dcmandabte
:
-' .)- . ,_J .-_-,' -. '
.
"
•
•'
.
,• .
Dlsbarsemeats
~~-
'.
I
:-
0.
\
.
'
'
..
..
() .
.,
..
. ·,
;)
..
-
. i60~000
.'
•
-·Notice of Ob.ligation-Request :and'Status .Adju;tment ·(NORS-A-) . ~
ne;d
If the .oblig~tions reco~Jed in the RAOD and -C~RS ab~ve
to_
· be adjusted, the.subsequ~nt . a~j1;1sfui~ht s!"tq].1 be in_ap.~.thr0ugh,the
· -use of . the ·Notice: df ,Obliga.tipn;. Request ·. arid :_·. Status ,Adjustment .
· (NOR.SA). · The adjustment ·shaU-.be :.effected ,._through- :a .positive
. er1,_tty .( addition)tor'a.-n egative;e_n try (reciuc~on), -~s .a,ppropri~te. . '
1
.
,
0
.
••
~
,
;.. • •
;>
J'I
,
I :
1
,
- ., ·.
, •
.
•' ·f
•. --. j
. , _.: · __ ..r, ··. --- \.}! · _
•
.. -Ue.lo_,this point, nolhl_ng is recorded yet in the acc0urttirig books:
,The]~C~: d~~~? ~bove ar~ ~a~e on·~~ budg~! re~~tries. JotI:rl~
entries .shall be J.Ilade only after:•,,; :· ; .·•. 1 >~· :.i:.- · ·· :-·, :; -. i.c>· . , · ·' '
~a.· .'th.e ·~mploy.ees have r:nder~d ~ervkes; ... ·_- ·; ·, . '. ~:_f:~
. ')
·-b:. -_the·offic~ supplies,ate,delivered _and r~ceiv~dyanct
..c. :the :office:eq¢pfi\ent:i~_-deliyered·~d .r~ce~ved~- ~-.
l
Scanned with CamScanner
60 ·
r that the entity's financ-i .
nts occU
·
,~1ft~r these eve . .· d thus, an -accountable eve
Only a
affected, an .
l'lt
· nts are
· d
be recognize .
"
. d _. . .
5tatement eleme
d that' needs to
bligations _recor ed in th
has occurre
. . .
the o
. f
e.
In the meantime, ·
- ting books) are re erred, to a.· .
.
.
t in the·accol.11'.l.
.
. . .
;s .
euistries
(b~t
not
ye
d
bl
,;
.
...
.
.
.
r 0D
an
a
e.
b
·
·t•ti
.,,.,.,T t vet Due and em .
. en
. ti'ties and . us1ness
1-~o 1,
rnment
· en. _1. .~s
- --use.
·.
Notice th.at gove
.,hrase "incurrence of ~bhgatioi\"·
or the P
.· ·
··
the te~. "obhg'-ati0':1
.
.
· differently.
·
;, .. •
'
.
11 ·
j
L-.·
·
•
•
11
•
·. Government enti · · ; ·
' -
.'.
-.
► .Obligation -is an, ad of a-p.~y
authorized . official . which
Business_ enti
►
-.
•
J
·_'Qbligatiqn is another term.for
. 'liability.
bm:ds the· go_veirunent to the
/.
inirri.ediate -. OJ'.'.~ : ev~rituar. .
.... .- .paymfut of a s1:11:11 -~f ~ori~Y-'. __
.. Obligation ~aybe referred-to:,.· ·
a . ·. comnutmenf tl\at .· ·- ,
~~co~pas~~ ·pp~sible - futu~~ ·
',.
.
\,-.
_. .,.. . . . ..·
. -.. -
·--:•
.
.
·-
- . -.
.
~
-
~
.. ·.:
·..
.
Jiabiliti~s ba1~'µ :- orr ··currertr
. .
'
. .,... ...
;
'_ as .-
'
•
-:
"~
.-
-. -
"
. . .· : ·.
..,
·-•, '
. - -·: . ..
t
.
'·
; .~---.. --~ .Disbursement -A~thori-fy'-:-" .N_otice' of <:a~t-f Allocation ..(~ CA).: , '.; :-·. '
'. .··..
·. Entity 'A rece{ves Notip~:of Cqsh:4,no,cationt(NCAJ°::from·· th_
e DBM 1
1 _, ~ .__' a ~ ounti.ngtcr P200,000;·ri¢foftax. : : _,
.· · . ,
- . This_-·tin,te··a Journal efitry shall b~ made ;fu ~e 'ac€OU?ting_. .J
i .
__boo~ beca~s~ ,the ~ancial ·state~ent ele~ent~ of the -entity are
. now ~ffet ted;· i.e;,.mcrease in cash and 'increase in' teventie. 'Tli~
1
:~ tiy
is ·a:s follows:;.'
· ·,.,. : _:.
--:.
Date
. .. ,
.
. .Cash-Mo~ifiedDis~; rse~e~t System ~-· , _·., ·
.
· (MPS), Regular -- ·; :_· --.. ·. _.•·.
. , . · . 20(JUOO::
..Subsid_y froq1 N_ation~ Government ~ . ·. '
.
J
-·ro ·r¢co nize r~ce{ t'o NCA Qm DP.M.·
.
L
'
.
_.'
' .. '
.
....._
-,2oq,ooo. _:
··:·
C,
'
'
"
~
.·
Scanned with CamScanner
.
.
61 .
The·Covernm_ent Accountfng_ Process·
The registries used to monitor the N<;:A are the following:
a. · Registry of Allotments and Notice pf Cash·Allocation (RANC.{4) ·:_
used to( -determine · the ·amount o·f allotments not covered by .
. NCA and to monitor the available balance of ·NCA. ·
b. Registry · of Allotment and Notice of Transfer of Allocation
(RANTA) - Used to determine· the · amount o{ allotments not
cove!ed ~y Notice -ofTr~nsfer of-(1.llocqtion (NTA) and to monitor
the available balance of NTA.
•
-
.
.
•
•
I
.,
. '.
.
/
the NC:A
is posted
(recorded) in the
RANCA
as follows: ·
..'
. . .
' .
. .
.
REGISTRY.OF ALLQTMENTS AND NOTICE.OF-CASH ALLOCArJON
_, ..
Eatlfy Name : Elldty A
'
-
.
.
.
Allotment
Received
..
.-
-
"AMOUNT
•.
.
Balance :
' UmmliuJCl •
. Utilized
-
.
.
..
( c) -
(b)
-
-300.000
114/xl
. Received
'
. . :- .(a)
.
-
.
'..
200000
..
I
.-
<"
NCA .
- -1.:-,
..
;
.
•• f
• I',
~
• J ,'
.
.,
'
IY
I
,
;
-
'
/,
•.. '
.
.
°)Ol)RNALS · •·, .
. -.
..
..
.•
: . ... 1-;
.;
'
·· ·t ·_· ·ioo.ooo
... .
'
.
. -(a-b)
200000
.
.
.
Allotment
.... -.·
(b- c)
.
1 • _. . . . .
-
-
•'Unftmded
•
-
· Fand CJ!uter: _Rip)ar.Alf!acy Fmid
- Sheet Nambtr-: !
-.
! . Notkie-of Casla Allocation
'
Date Ref.
..
1.·.
''
.
.
...
Fo~·.the period Janaan 20:11 -
..
-
. :
-.
.
....
-·
_:
..
'
--
'
I• •:• • ••
. ·a. ---G~neral:Joii~al ~,c hsed.to record -'~ans~ction~·n~t r~cor.d ed.in.- ~
the Specfal Journals: _ ·
···
··
~ _·· · -: ·.
·.
.\.
...
t
~·
· ··
-
•
/
,...
.... ,
--...
.$pecfal_Jo.u,rrials:
_, _
,. __-·-.-,
b. . c~-~ ~ece~pts-Journal -\1sea-" Jo"_;e:tor4 the )~eport- of-C~ll~~iob .
-, .an~ Deposit and_
Cash R~ceipts Regist~r of collecting_qff(cets..> · ·:.· . -~
.,. .
I
-~ ~ :: . :..-~--~.-~eport of_(;pile~tion -a-nd Deposit (RCD) ·.~-,p;~p~~d "qy
• • -:--:,
a:
. . -:·· : . coll~~ting officer to repo~-hi~/her collections ·aiid deposits
.. : '• ::. . . to-ari Auiliotized Govepiment DepositQcy Bank '(A-GDJJ) . .
...
.,
..
Scanned with CamScanner
62
.
'
.
(CRReg) - used by field offi ·
Cash Receipts Register t o.-f' books to record their cacehs.
►
lete se
.s
without a comp
·t in the books of their mother u .
ti ns and deposi s
ntt
collec o . . . /d. .sion office).
.
(central/regional iVl :·
,
. .
.
to -record the
' ·
- Journal - used
cash ,
c; Cash Disbursements .
. . Officer.
of the Disbursing
.disbursements
.
. .
· ·
-. .
· r.
t _ used to record the che~k
d Check Disbursements Journa
. .
·
.
f th o· bursing Officer.
disbursements o e is . · ·
· ·
.
,..
- .........- .
..,
•
••
I • •
-LEDGERS
II.
. - ~r ·-
, --
••r
r
-
•
..
•
.-.
.-_
. _.. .
. .
Ge~erai ~dge; - ·suminarizes· all µ-ansactions r~corped ~ the
journals. Accounts _in . th~-. ·ge~e!al_ I~~?~~_ :~e _-arranged
~according.to _f:heir sequenc:e.in the--R.,ev1sed '?'ar_l of -~ cco~ts.
a.
--
'
:
-
.._:
b. Sub•sidiary L~dgers -
show det~s of e·a & con~ol ~ccount~~ -tl_le
. . -ge~ei:al-ledger. ~.: · .~ ,
' .. .. -~•_, .,J,. · ·: .... - . ,. .
...
•
~
.. . . ! .
...
.
.
.•
,-
•
•
•
>
,• •
•
I
'I. •,
•
'
~
•
- ...
•
• • •
•
· -·
.,
•
'
_.._,,.
•.
•
"The NCA_s.pedfies the Il).aximum amount of withdrawal
that.an entity can·make fr9m a gov~i-runent bank for the period ·
~dicated'. ]11t Collectlng Offic~r:shill not is~ue an official_,!~_ceipt
·_· (OR) for:the r~c~ipt of_ NCA.." (GAM for NGAs; Chapte~ 5, ·se~. 38) Since
- the, :~es~ip~. of _.the .NGA -dqes_
n6_
a collection
that
,
. t.,constitute
..
.
'
. is
· re~o_r~able_in the .Cash Receipts . Jpurna(-it is· ·recor.d ed -irt the
G_eneral Jbuina1 as follQws·: .
,
\
, G~RAL JO~AL
.,..
fadtt4
. .
Eadl)'~ :
Fa4 Oahr: RanlarApag:fud
. · ··,~•buaa
20s1 · .
.
..
,
;-
:,
'
-·
~·-·
, )
~
. .. .
,._f .
p· -.. . .-=
Ob Id Codi ·
Debit
-10104040
, 200 (IOC) .
40301010
UACS ·
_IEV _·
. No. I
IMDIJ/
•
I ••
Scanned with CamScanner
61
The ·eovernment Accountfng Process·
The registries used to monitor the NC.:A are the following:
a. · Registry of Allotments and Notice pf Cash Allocation (RANCA) :...
used to· determine the ·a mount of allotments not covered by
NCA and to monitor the available balance of NCA..
b. Registry ·of Allotment and Notice of Transfer of Allocation
(RANTA) - ·used to determine the· amount of allotments not
cove~ed ~y Notice -o f Tr11;risfer of.Allocation (NTA) and to monitor
the available balance of NTA.
.
I
•
The NC.A:
is posted
(recorded) in the RANCA as follows: ·
.
.
.
.
.
.
REGISTRY-OF ALLOTMENTS AND NOTICE.OF CASH ALLOCAJ'ION
For·tbe period January 20%1
.
Eatky Name: F.Ddty A
.
F11Dd Cluster: _Rtp)ar A,mcy Fmid
Sheet Number:!
• '
.
.
'
-
Date Rd.
Allocmear
R«eived
\
-.
.
AMOUNT ·
Notice-or CUii Allocation
'
. Received
Utiliz.ed
(b)
(c)"
,
.{a)
~
-300.000
114/xl
-
.
NCA
--.
I
-
..
200,000
Cb· c)
. '200,000
-
. Uni\mded
Allotment
'fJmJtjljffli .
..
.
Balance
-
. {a-b)
':··.r 'ioo.ooo ·.
, I
:'
.
.
.
.
·a:. - General Journal - used to record·trans~dion:s not recorded· iri ·
the Special Journals.
·
·
·
·· ·
·
.Special Journals:
.
.
b. Ca~h Receipts-Journal - used jo recor4 the Report of C~lles:tion ·
and 'Deposit and_ Cash Receipts Register of collecting.qffice~s.:
·
► Repor1 of.[;.o1lection .a.nd Deposit (RCDi - \prepared l?y a
colle~tirtg ~ffic;er to rep~rf his/her ·collections ~d deposits
to·an Auth~~ized Govem:~~t Depositq_ry.Bank (A.GD~) . .
Scanned with CamScanner
-- ~-----------=---_-:----~ .
.-
. ter (CRReg) - tised by field
•
Regis
- books to _record
- theiroff• ~ ·_
► Cash'.-Receipts I t set of'
1
. a comp
. _. without
d e esits in the books
.•
I tions and epo
. ).
,.
_col ec , . h I/division office . _
a. .• ._
.(central/reg10
.
..
/-
- .:h•
. Jo~rnal -- used to ', record the
-. _
'
.
cash.
Dzsbursemen
ts ·Disbursing O ffi cer.
- . -f the
, .. . c; Cas
o
. \
--. disbursements
.
I
.- rnothe
.
casl1_
o f the1r
l' \ll'\it1
·
,. .
.. . _
. . .
. .
••
.
. .
..
ts 'ournat - used to . record the . ch .
· ... eek
·. . • ·.
d Check · .Dzsbursemen
J'
:
. Offi
- . disbursements
cer.
of ~he o·isbursmg.-
,
·'.: .._·.
. ·' . .
...... ..
.
~
.
- n. . ·LEDGERS
.,
., ,. • r •
-
-.
- --- -
- . .. . .. . -
. :. .
· '/..':..~
.
.
. ·_
1. .
-
-
.
.•
.
•
_·
.• • .
,_·.:
·- a.· ·· . G-·
in✓- the
ener·ai' ~dg.er·.:.. -sun:unarizes·
. . all transactions r~corded
.
journals. Accoll:'lts m. the_ gE!rteral_ le~ger __are - arranged
i: .',,:.. :-: - . ,- -accordingto i:heir se<j_uence.in the Revised ?1,art of Acc°!U'ts,
q . '
!
. !j'." t'·
i'
l'I_', : .. ,
i
•
;
'
;.
..
'b_ . SUbsi~/my 4,tgerf - shO'w d~hli!s ~f each control account in the
' -g':"eraHedger.:~- , <~ ~_
. .. . .
·
:
,·•
.t
. -
c·
. •.
I
•. - . - - • .... . .
• .
. •
-- ·-. - .
'· • . ~.
~·• '.:, • ••
\ _: : < _,
"The NCA.specifies th~ ll)ilximurn amount of withdrawal
rI-.
an er\~ty"'-can m3;1<e from a _government bank for the period
!'I_., ,: ·-_ •· •... mdicated_. The Collecting Officer _shall not issue an offici!l:!-~ceipl
/ ' : ; _ .· · · (OR),for the rec~pt of_NCA." (GAM for NGAs; Oiapter s, Sec. 38) Sin..-e
·I;, · · i .· - · tI_,e ,'i!!~p_t _Ot the N<=A: does, ri()~ .C~titute : a _collection fu:11
• , , . . . ·· · re\'.Ordable In the Cash Receipts fotimaJ, .it is ·recorded in the
'. ; ,1., _ · , _ Gen~a! Journal as follows:.
.
'
,,,
0
.-,_
h.
~~-
•~•~'-• ••• -
...
C
'
,:.,
•
C
•.
••
'
•
•
•
•
~'.
~
ii
,. _
.
. _,
.
. -~.,,. _
.
.
~~JOURNAL
---~ 16 h191ry2911
._ .
,· EadtJNaai:~ . . . .,- ; ' •'( • .
. Fad~:&nlu:Appgrp.\,_.
.IEV _·
.
~
.'
.
~ : ffe. ) ,
I P111bJan . ,-
''
I
..:.
•I~ · l .
•
, ,
f
·
-
·
p
.
Aaat ·
Debit
. 200000
... ....
. ,., '
-.
. : .
oe4i!
'--lllJI
Scanned with CamScanner
The Government Accounting Process
63
The journal entry for .'the NCA is p~sted to the g;neral
· ledger as follows:
.
.
.
.
GENERAL LEDGER
EadtJ'Naat: l!!l!I.A
Acaat Tltle: C.-~(odlflld ~111"1 IH lit Sn!•
Pardcalan
Datt
J/41%1
.
..
Facl Cluttr; B,n)arA.Ncyfgd
UA_cs Object Codr. 101~~
mll)S),, Renlar
Amour
.Rd.
R_,.,, ofNCA from die DBM
,
Debi(
JEVNo. 1
200.000
200000
GENERAL LEDGER
-
f.lldtyNaae: [,!!lttA
Accout Tide: SabtldT froa National ConiuieJ
Fud Clatter: RenJar AnDcyFud
UACS Object Codt: 40301010
, .
Pardcalan
Datt
}Hid
• ~ ofNCA from dleDBM
Balance
Cndit
Rd.
Amour
-
Debit
..
-~
200000
JEVNo. 1
-·
Balance
200000
-
·. Disbursements
Employees ha~e rendered services _and are now. entitled to
compensation._ .
_
_ _ ._ _
_ _.
_ rournal entrjes shall be .m~d.e b~cause the financial
statement elell_lents of the -entity are · affected,_ i.e., increase in
exp~nses and increase in liability/decrease in cash_.The rec~~dings .
'
'
are as follows:
·
a. Set. up of payable
to officer_
s and empl9yees uprn:i' approval of
.
.
.
payroll. ·
• -· .- .,
,
Salaries and Wages
.
Personal Econo~ic Relie~ Allowance (PERA) ·
'
'
- ~ross Compensation
W~~lding Tax
GSIS
Pag-IBIG
PhilHealth
,Total Deductions
· · Net
35;0oo ·
, 5,000
40,000
(1_0,000)
(2,000)
(2,000)
(1,000)
(15;000)
25,000
Scanned with CamScanner
,~~-~~-...:...--:-~----:------..:..·
~
c~
~
_:___,..~--:.-:-.:an=d:i:.w~age;;,s,RRiegu~fa~r-:,~--'--~-733~5,00o
Date · Salanes
• · 1.c Relief Allowance (PERA)
s oo·
Persona~ Ec°.nom .
. Due to BIR
·.o.~e t~ -CSIS
_ .
.
: , 0.
'. ..io ~
I
. , ·2:ooo
-Duel o Pag~lBl~
,2,0~·
Due t~ PhilHeal~
1. .
Due to Of~cers an.4·Emp oy~es
,
To recogni~e p~ytible to offleer~ a~d
1,0(X)
I •
· _25~otxJ
roval o a roll
.
~- _·Posting ~-£. payable to the Section C of o~s·
'
.
-
.
""
.
' -
••I
• • ._
. ,
Jt,spamibililyQmr
(
Paniculm .
. .
Jiiirdme order-for office silpplies
Pmdme,order ior'offlce equipmmt
. ~~
.
__
·.
'
IJ3la1.
1/llll
~
-
,J llllt : ;
.
llXlt
llXlt
·
lllCt
:ax
70,000
25,000
. . . , . ' . ·. IG0,000
·:
.-·
:'
'
'
-
Jol)Qrdlr
omce...-
. Otllceq,pties
. ·2SSOOO
STAltlS OF OBLIGATION
Ball!!!! · :_.
Pricialaa
..
·
· -'
- -
TOIII . .
.
(
:ax ·
·· .
·-<~ _. ';.., ' -,
_.7- -
UACS
Code
MFOIPAP
BamaDlmRes · ·... IobOrdir~coatracts),
AdmmilirlliclD Office
DIie .
'
'
'
::
,
- SamewllmSt Litde,Town
- Adllrm
C.
,
,
.. ORS/JEVfCbedt(
'. -AD~No.·
Obllplion - Payable .
{I)
JEV~.-2
70,000
· 25,000
160,~
Pl)'lllelll
NotYct · _ ~
. Due
.. (b) .
(c)
40.000
0
0
0
0
0
30,000 .
25,000
~
-~
. 160.~
·,·
Scanned with CamScanner
The ·covenime.nt /2ccounting Pro~ess
65 .
c: .Grant of Cash_
Ad_v~ce for. payroll.
.
.
~
.
'
~
. .
-~.Advan~es for Payro1l ·
C~h-Moclified Disbursement
.
.
.
. '
·system (MOS), Regular
. To· recogni~e grant of cash advance
for payroll
Date
,.
25,000
-
.
.-.
..
.'
''
2s,090·
.
'
'
.
.•
'
. ..
..
-
.
',
The entries above are posted·to the app~opriate le~gers.
.
'
d . . Posting o_f disbursement to the,paymeht-c<?lumn of·Section of ( .
ofthe.ORS and disbursements -co1ui:nn of the RAOD .
• #
•
-
•
•
.
.
-·
►· The Section · C of- the ORS
' will _show -the
_:following
..
.
- . .
.
.
.
information:
"OBLIGATION REQUEST AND STATUS .:. .. -.
.. Eati .A
Daie : 1/3/xl
Fund O~.: Regular Agency Fund
,
C.
...J
STATUS OF OBUCATION
-
Kdennce
..
ADAITRANo.
,
-.
-·
1/3/xl
1/3/xl
1/3/xl
-
.ORSI.JEV/Cbeck/ . OblipliOD
. Partieulm
Dare"
\
'
-·
70,000
25,000
'
•~.ooo·
:.
..
/'
Not.Yet
·Due·md
Due .
Demmdable
~
--
(b)
• (c)
C•b)
.40,000 .
25.000
30,000 . . . . 25,000
·160,000
.
"()
·o
.. -.·o.
o. .
-
Balmce'
Payment
-·-
. . (a)"
JEYNo. 2'&:3
Job Order
Office ~lies ..
Office equipmmt
Payable
. .
·•
..
'
-
-
AnioaJlt ·
lb-cl
15,000 ·
.0
o·:
;
I
'
►
The recording.i n the RAOD-PS·is ·as_follows:
·oF ALLOTMENTS,
AND DISBURSEMENTS
.REGISTRY
' -::
. .. 9BLIGATIONS
.
.
P_E RSONNEL SERVI<;:ES
~
,,/
...
·•
,.
.. - '
-
.'··
For !be year 2011_
',
'.
EDthy Name: Entity A
~IUld Clasttl'. 1 Jlmlar AJepcy'Fagd _· · -
· Date ·
R.tt . AUotmeats·
1121%1
. 1/JkJ
ObU,adoas
.
UaobU,ated
Allotmeats
90000
:
' .
,
,
,
10000·
Dlsbttnemeats •
Unpaid Ol>U.atfons
Not Yet
Due and ·
:I)ueand
Demandable ·
Demandable
is.ooo
25000
20000
.
.
.,I
30000
,
Scanned with CamScanner
2s;ooo
Tax ·Remittaffte.A(1vJce·rrAAr . :- . ; -. . _;·
.. . .· -~ : - ,' .-· -~. .
The r~ Remittdnce"i-d~ice'ciRAfis u'.~ed\b fec6gni¢e~:•·' ,: .' ...;_~ ._~-" ·
a~ 1n the b;dks'~! g~-.dinm~t ~
~gihci~( -:the:constructive:ieriy~an~
- . of taxes Withheld·to
Reven~e -(~IRr,or
-'.t.h/1iht~a:\i]~f.futernal
-. . - .
,. .
- , . -d
·. . .. CUS!iims dtitl~s withh.e1~ to th!! Bureau o( CustoJ;Il~ ~O~J:
. -~ -e co~fructive ~receipt of .NC.A for those taxes;_.a n3J:u5to_ ·
.. · . .· . · ...._ · . ·. ~ ... . _ ·• . .
· dµties; . · · . :
· - ·. · .-· ·
. :- .-
.
.
>
~nd:
aoc .~the. nstructive r.e~eipf-.Qt_:.t1 :
. - -.r~venue arid tustoms·dtitie'·s· :•an.d- -.. ·~ ·. . .· · ~ ·· . ·. . .· .- . --.·: , ·_
- f -in,!h/b~oks"oj the BiR
:CO
.
_,)
,
'
f,•
I
_.
i
c.
/
1
.
!n· he ~ooki
-
0
(
I
-
.
• '
customs.du~~~-r~t;~d~, ./
·,
d
t/k ii Tr, .the constru~v:e re~eif)t_Ofth~ 1ax~ ?II ' .·
• .
,1
• •
..-
"'··1 •
· . . .. . .
. : ;
'
,
.
.
.'
.
.
..
--· ~
•.
•
-----_.c._..___ _
.
Scanned with CamScanner
The G~vemmen~ Accounting Process
•
I
.
The remittan~e of the tax withh~ld i~•tec~~de~ as follows: ·
....
.
I 1
o,tEntity A·_
· flOO.k s
•
. I
OI
-
-- Date
· Cash-T~ Remittance Advice ·
.
'
Subsidy-from
National Government
Tp r~ognize the constru~tive receipt of '
,'
,
NCA;forTRA .
- ·( ,
'
.,
Date Duet~ BIR
..
'
..
Cash-Tax
Remittance
Advice
·
.
' .,'
.
To recogn_iz.e the construc:.tiv.e renliftance.
of taxes.withheld to the BIR thrquKh TRA,:
'
'·.•••10I 006
~
'.
I
\
--
- ·-
·-
•
... ·· -
.,_
•
1 •
10,000
'
.
.. -· ,
.•
..
.-
.. l'
_.10,000
! ,_ •
....
·.10,oob
'
'
~
•'
·,
;
I
.
_:_ . · ~otice thaJ there is .a.ctu.ally.J10.:physic~ftrans£er 0f cash t~
. ·the ·BIR (i.e., debit and cied,it .. !Cas}i-TRA'), thus..- the- term · ,,
"c6nstructive." . .the TRA :is an9ther .fo~ . .
disbursement
a~thority; thus it is ,recm;deci simtlar~y"to the receipt..of the regular .
.;, r\l,,
.~
••
NCA (i.e.;, credit to 'Subsidy from·· Natt~·naZ: Gotfernment}• This _ ·
· - . -~eins·th?,t Erlfity "·A' Jla:s·fhe ~tlili9tity
llif run~tirit withh~ld ·: ·
__in J.ts op~rations.a-Alhourits .~se'd _f~om the
will·be .repo~ted in_. · ·. .
_-~- -· Entity A's-Jionthiy Report ojDisbu~s.ements_
;·!, _,:- .· .·. :_
:·: · -:· ···.. - . .
J0:..
.)
•
.
......_
.: .
'.,,
.•.
oi
• •-~.., • .,
•
~- -
•
~
' I
:to··use·
·TR-t\
•
•
•
• ~ : -
•
•
~
:
-
I
•
•
;r· .
-
•
._
•
••
:
.
.
,•
.
.
. . ·: : . . .
· 1.
·.
~--•
•
_. , '
• ;'
.,;•I" • •.- ,;.. y '•
,, . .
0
.
,•:
• •
0
.
• •,
·: ) , ·. . . . ·.
•· .
• •
,·.
•
••
The ~-RA is record~~ by fl:le. other governme~t _agenci~s as
:· follows: .·
'-.
': .
-_.·' '
'
, 110,/ks'°ofiJiif
:··_·__· B¢oks ofBT.rt
---'f .• ' . •
Subsidy to NGAs .._..10,000
Cash~TRA.~..... ··.:···10;900.
Cash:TRA .. : ....... ·.... ~ _.,.. .i0,000·. Income Tax ...........
.. ... 10,000:
,
1,
·,
·ro .' -_recognize .:tonstructive
' To .·recognize , constructive
r~eipFof .taxes
· remitted
t
-- by National receipt:of-~em"i,ttance -0/ taxes by.NGAs
:Gp-qernmen{
.t4g~~ies -(NGAs) thr~ugh . ··through TRA
..
.
.....
'
.
-;_
..
, :
TM
,
-.
:
1 .' ;
.~·. '
'
'·'
.
.
; :- -,
0
•
0
0
I-
•
,
~
{
;
•
"
(j
;
f!
~
I
'.' r·.
•
\
·•
,
I
~
,
;
•
~
;'
_, :;- •
_. ! •
,,_J
.-
.•
,
•
•
~
•_..I• •
•
•
1•~
t
•
•
'
• ;
_--. \ • •
as
I
. · The use of the account ~'Cash--Tax R~m#tance.AJ;ivice"·is if ·
:: ~~tity/Ar~mits the cash t~ th~ BIR ~d BTr~~hi~h-th~_~atterth;n
· r~ntlts back :, t~ .Entity :_.A, ~thou{ the · cash-'. be~g , physically
·. . .transferfed_; The ~se
TRA is necessary_.i n 'Onier:for the BIR to.·
· -.
J
.
. . .
. t:•
of
.
-
' .
'I
It
........_
•
"'
. -'.
Scanned with CamScanner
~
. ·
' . rne . artd for the BTr to rec
.its in.co .
.
ord t
the
tax~s
as
.
b
sernent
authority
as
subsidy
. he
record
ncy' 5 dis ur
•
·,
withholding age
;
.
·
. -IBIG & PhilHealth
Remittance' to GSIS, Pag
.
.
..
-
2,000 ~
2,000
1,000 .
,
- Date Due to GSIS
, ,,
Due to Pag-~_~G ·
.
Due to PhilHealth . . .
.
..
Cash-Modi_fied Disbursement
Systelf\ (MOS), Regul_ar .
To recognize remittan.ce to -GSIS;
:
.Paf-1J3IG and PhilHe'tllth ... '
I
,.
.'
. .'
-
5,00o
-.;,,,,,_,___
The Ob~igation Request an_
d-Sta~.S.(ORS)'.and-the ·RAOD-Ps
-cl!,~ ~pdated·for .the·pay~ents a~ove.
. ·· . ..
'
.
'
.. :
Billings,:C9llecttons & .~em_i~a.nces . ,.~ . _
a. _:8ntify Ab~~-~even~e of ;190,.~ 0:for·ren_
t -,inco~e. _: ·
•·
'
.
· Date'
.
.,
•'
,,
.
Accounts receivable · . .
Reri1/Lease irr~~~e-:. ,.: " :__· ..
: /
To '.recognize bilJing pf ine,ome-. ·
b. Entity .A .collects· PlOO;OOO from
th~-coll~ction to
BTr.' .-: · . ... ·.
the
100,000
..
•• r
,
'
.,
..
.
0
.
.· . .
.
.
;
..
' -.
"
. · 100,000
-
. -
"
100,0{XJ
- T~ recog~i~·collectio,r{of.b.iU~d inco~ .
~~-Tr~asury/Agency,bep·os~t; Re·gul~
. Cash.- ~ollectirig 0£.(icer·s . ·
Ti
·
0
I
•
,
.
'
.
'
,,
'
~
100,000·
i00,000
-
-
rec~gnq.e
ofincome. ,to,. BTr
- re111;it~q~ce
.
.
-
'
:
•.
Accounts R~ceivable ,
.·
..
.· 100;900-
the'billed reveriue··and.remits
. Ca~h- C<?llecting·Officet~
1~ • • '
·.Date
,
\.,.
-
,..:_
Date
., ·.
,'
..
-
(, ~ I
, P,o. No. i445 teq(rires that~ll ~ollections must-be ~itted
to ~e ~ational T~easury, :tlhle~~ .an.Qth~r la~ .specifically -alloWS
otherwise.
• ·. · ·
:
·
Scanned with CamScanner
The Govemment Ac~ounting Process
69
The ·billing of revenue is ·recorde~i" ip, the General Journal
while. the_· colle~tlon . and r~mittance . are. recorded in the Cash
Receipts Jou_rnal as follows:
-
.
.
..
CASH RECEIPTS JOURNAL
Month January 20xi
\
Eatll7 N - • ldlx.A
FIIMa911ff•;..;;;;
RCDI
Nameol
JEV
.
SUNDRY
McNab
Dl!BIT
ot1lcer
...... ........
(IUOIOI~
/!Phi 0001
Mr. Xoh Leetcw
P 10
DEPOSITS , .
DEBIT
SUNDRY
· TNanirJIAeeac7
UACS
Objtct p
Code
a-lft~le
ANtN.. , 1
~-..-·
COLLECTIONS
atEDIT
-.
ColJectina
Date CRRet . No.
No.
.·.
'
._,..__.,
CREDIT
UACS
...-
Deposlt,lbplar Oijecl p Amolllll
(HIMOIO)
.Code
~
I
,
.,
'
-Reversion .-of-tJnused -Notice of ·c~sh All~catiori (NCA)
· '· ·
' Government_entities
are required
to _revert any unused_NCA at th~ .
.
- .
.
· ~nd of the _af.:c9unting_peri~d.
_ . .,
·
The unµ~~d NC:A is comp~t_e_d as·followis: . '
....
Cash-Modffied-Disbursement·s·y~tem (MPS), Regular
. Rece_ipt-~f NCA · 200,000
-
,
.
. :. 25;000 - A9vanc_~ i:ior ,payroll_ ·
· ' ·· :·, · Remittances·t~ GSIS, ·
S,OOO . . pag-:IBIG,.·& P~~alth .
-
____..._~ ----'--
.
__
·end ·_, ·
.170,QOO ,
... ,,
. . I.
.\
.
: I •
.. .
-.
Date
-
Subsidy from National Go.verrunent :
I
·cash:.Modified pi~l::iursement
-·
System (MDS), Regular·
To reco~ize reversion of unused NCA
:
I
..
,
I
I
'I
I
\
•
• . ..
~
•
I
•
I
•
-
170,000
.... ..
,
.
-
.•.
170,000 .
-
Notic~ thaf th~ entry above is -the·-e;act opposjte of t:}le
entry to recorq the ·receip·~·of the .N.c A.
.
· · •· · ·· · ~
•
.
.. ... .
1
•
'
'I•
,
.
/
,.
.,..'
..
'-
Scanned with CamScanner
--- -- -- ---- ~
-~--:--:-------Chapt - .
.
.mSumTJUl
~
·.O
~
· -Recordin s: -·
IJ(lSt~
✓
-- .
· •
t
;
.Reg/,stri~s &
- - -Transacti;on -. . , Other Records
-,
:
.,
I
..
RAPAL
.imd --- .. ;:.
\
'
'. Journal & Ledger._.
- ·RArAi;:
·a. A - ro riaµon
b.. Aflotment
.
Recordtn tn:
-
,. .
.
None
None
'
.
appropriat~_· :
•
RAODs -- .- · · .: · ·_·_
-_c. .Jnctµ'rence ·of -~- - - ·ORS a~d->- _ii-~ --, _None _
.appropriate ..
· Oblig{ltioos·· ·. · RAODs
d. NCA. .
- - .-.•-. : :·RANCA ·-) . , _.. C:ash-MQS, ,ReguJ~ ·-~ ---·. - -.-: . .- - _, _·__. -· ,.· :·~ - , - , . --. -. -. i ._. .S~b~~
~y ~om_.
~ q ._: xx·
.
.
.
.
'~
•
I
.
e: bisbursemen~ :
r· -~-
.
•
'
.
"<.'
~
~
. l
'
·, ~:
~
l
. Advice' _-:.,_ ~-.
··_ORS.and . --_,
~ ·,
•
I , :· : .
•
\
.
•
- _r.e ~ttan~e of_ta~es_ : ·. ·..
withh_eld)· · __ . _
- . .· - - ,
< ·-
-
.
., •
R
·
A
- ·
!
-i~
.
:.
. ·_·
_
.-_-_0,Ps .-·-"
.
Subsidy frol)lN_G .
c· .. : : .
•
. -
_.D~e to BIR
·-
RR - - ·:0R, .
,:
--Payable·~ ·-..·
~-
.•
ORSr.and·
--:·
·:-
-_
--&~ ~~_used_:Ip;.··:- ·_: :-:·-: -.:'~PP;~p;ipt~
:-_ ·g. Billings : ·:
.
....
upqa~g._of _-. ~~p:ensezA:sset-_ -, . ~-xx.- .·
_
• • __
• • .I .
.
_
Cash-TRA
- -
·XX
._Accounts receivable
.
.
xx
_ ~ -.
X.X - . ·
Cas~-CO
. . .~
~e~ttances. -: · .. - ·c~9t -iJ:Iustrated.) --_ - . . - ·, -. . . . ,- .. ,.,:-, .- - ·Casn-CO·:
._xx · :
· · · ·
·
.·Accoll]'.lts receiv~ble xx
~ol~~~tjO~/&_ · .. : ---·
J~_~D/CRReg . ·:
. .:._ ~
..
.
"\
..'
..
.•.
. -.
'
.
.·' ,.
'
. ,, .
~
-
, •.
.
. '.
'-
.
... . - ., C~sh-Treasury/Agen~ ' _·_ '
·, _:'; ... ,._..:..-,.-.-- ·. ... .. :·_ Deposit, Regularr:· - ;xx
. . - .'.:, ' -.
' Cash-co . :'--- - xX '.
;,
h. Reversion,o{ , -· ·._Unused NtA: ·:: .
'
RANcA ·
Subsidy from NG .xx
Cash-MOS, _Regular ,p.
Scanned with CamScanner
.
'
I
.
'
The Govern11ient Accomiting, Process·. , .
, 71
. The Revised Chart of Accounts
- A chart of accounts _is_a _lis_t of ail the atcounts used by.an entity.. -Government ~n1:i-tie~ shall use the a'ccount titl~s and acco'=1llt.codes ·
in-the Reviseq Chart_of!1ccoun~s (RCA) ·issued by the -COA. _·_
The RCA includes numerous accounts. Only' a few of these:
_accounts are-·shown'i,elo~ presenting· the complete list would.. -p1ore "th~ double-the number-o·f pages in.this-book,·© -_ . _Each account in the RCA is assigned
.8-digit: ~ode a~ .
.
- .
' follows: .
_,,
!!°OO .OO · OO .Q
as
an
.
I
.' ; ' > • :
.• ' A,crount Group·
~-- Major::A~coUI:1t:Group
_
.
• ;
I , , '' '
.
.__.
_
- : Suh:~j_or .Account Gioup · ... . -_, _·· , ., :__--.:·· ~- -·~
.
...
... ~
.
....
\...
.
.
'
.
.
.
.
"
.:
,
·~·-
.·.
... '
'
~
.
.
•'
.
,,.
'
..
·. _- G~:ne_ral leclg~r Accoun~~:.-,:.:: -~:··:~~- . ·- . ·: .-.. :_: · ·· : · _ : _ · · _-____
,.._:
.• , ..; •
l
I
.
• .•
•••
•
. . -
.
•
' , /'
~
.. •
,.
, --;;,
_.. ·. · General
Ledger
<;:0ntr~~A~c~_tn.1t_
s , ·.: _.
- .
.
- . .
.
_..
:-'
~
I
•
-
I
,_
.,. _
~
-,--..Code ·
_: .. --~-_-__ -1 . .. .
-·
.
-3 .· ·.·-. :-,
\
...
-.
. __ __ .
-..
. ·--.
. .' '
Equity· - · ·· ------ ·
Income _
_Expen,s_es·_
•
4
•
-Aq:ou,nt Groups·
--_ · · · t .iabilities:· ~--. ·. _:-'. _. _... .·
..
2-.
•
J.
•
-
~
.
'
-
.
..
........
-
',.
... J
·:
... .·
. -,
.
.
.
. .
.
. . ·.-
~
.
.
.
....
.
-✓
,
_ .··-Exa~ple: __
- - ' - - -_-Accoimt Group: Ass_et
.\
_, ._ : ..
!- ..
-· ,,
:>. - '. · .. . . · · ~ _· ' ~;or'Aa:ount Group: Cuh and ~h Equiv~ents· ...
- .. - .. < · . . _ · ··· : · ~
- _Srd,~~jor Account G~up.: ~~- on ~d _.-: . - . _ •
·· ..- - . ·. ·" :_ ,' _·. ·
_~ ~md Ldgtr Account: Cash~ollecting Qf(ice~ . · ,
·.· :'.
. _, ,;
I:
~Gmtroll.edgtrCon,!1'4-Account,. Nota~tra~~-
. ,: , . . ~ .h-Coll~g-Offi~ . 1 01 01 011) .
.
•
•
. •• -
.
•
.
.
-
.. -
(R9A,Codt) .
·. ~-·-· '·.... .(Atiouni ..title)~
4
f
_
.
11.
.:
, . l.
•
6
i.
•
I
Scanned with CamScanner
r
RCA
Code
-
Account title
·UAcs
Object--
'.
Code
-~
-
-:----...._
ASSETS
Cash and Cash Equivalents
'
.
Cashon Hand
'
Cash-Collecting Officer_s
.Petty Cash
'
Cash in Ban.k-Local Currenct1
Cash in Bank-Local Currency, Current
Account-Banco de Oro (BDO)
,
Treasun/1 A~enct/ Cash Accounts:~ '
Cash-Treasu_ry/Agency D~posi~,
Regular
- Cash-Modified Disbur~eqient Syst.e m
1
(MOS), Regular
..
.
Cash-Tax Remittanq~·AdviGe
,, . Cash Equiv.alents ·
.. :
··rreasury Bills ·
..
._
-
101010Iooo
10101020Qo
10101020
~
10102020 : 10~0202005
--.:.
' -.
-
'
.
-----
10101010
. 1010401000
10104010
(
. 10104040- · 1010404000-
1010407000-
10104070
:
.
l· .
-
10105010 . 1010501000
.-
·~
'
..
.
.'
Investments·
.
. .
Fi1µmcial.Asse'ts at Fair Vaiue ·_ . '
Throu~h.Surplus or Peficit ·
Financial Assets Held for·trua.ing'.
"
-
.
;
.,
-
,
.'i.
10201010
'
102010.1000
·.
.-
..
"
..
ReceivablesLoans and ,Receivable Accounts
Accou~ts Receivable
All~wance for Inipai.rment~J\.ccounts
){eceivable
I
. ' ,
Inventories
Inventont Held for Sale
Merchandise Inventory
,
Inventont Held for Consumption
I
'
;
-
J:
1030101000
_103p1010
10301011 · 1030101100
-
-
·-- I
---1040101~
.
I
'
&
10401010
I
.
Scanned with CamScanner
. . The G_overnment Accounting Process
'
73
-
. 1040401000
1040~10
Office Supplie·s Inve11torv
· ;-'.
'
. Property, Plaitt ~d Equipment
I
·,
Infrastructure Assets
I
..
Road Networks :
-
.
Other Assets '
10603Q10
10603011
1060301000.
-1060301100
10603012 ,
'
1060301200
'·
Accumulated Depreci~tion-Road
'
Networks
Accumulated
_ .,
. . . Impairment ½O.sses-~oad
,
Networks
.
·-
·,.
r,'-',,,,.
I ;,
. .
'''
--'
'
:
'
-
Acivancesfor Payroll
.. .
Pr.eva11ments
..
---
--
LIABILITIES .
..
-..
'
--
--
--
..
,
. -.
, •.
,
-.
:
. . .... .
-
.Accounts ·Payable
..
'
...
·-1nter~fi.~encit Payables
.
-.
.
-
.
'
,
.
..
--
. - ..
. ..
'·
..
-
...
-REVENUE·.
.
.
-
--
Tax Revenue
.
C
.
.
'
Service·and .B usiness Income .
Serii'ice.i~come
···-
..
.
~
"
..
.
..
..
·'
..
,
- -
I
.
..
,.
. .-
---·
.
~
'.
--
.
.,
)
I
'
.
30idio1000 .
...
-.
r
IntoiruiTax
..
.
3010_1010
.
:
·,
·1.pcome Tax-Individual
.
. ·. ·'Imtnisrration "tax
'
...
'·
..
·•
:
..
.
•'
,·
.
:
'
..
• : 1.
202.droio · -. 2020101000
-·•.J ••
-
-~
•'
'
:r.
,
-·
·.
.
:
• .
. Govern11_1ent Equity
.
Accumul~ted-Surphis/(D~ficit)
.-
.J
-
·20101010 . 2010101000 :_
..
.. - ---·
-. . ..
.
.
.
NET.ASSETS/EQµiTY
I,
I
.. ·,
:
J
-
-
'
..
:
•.•
. ·,
.-
-·-
,-
.,
•'
,,
1990202000'
.. .
..
- ..
i
-
'
.
-
;
-
..
-
'
~
: ·!
.
-
.-
-·
.
.,
;
...
.'
.. ·-
Que to:BIR.
--
-
--..
- .
'
---
.
..
'
-
..
-:
..
19902020 -
....:.. •
...
:
.
.......
' .
'J . '
-
- ·-
-·· . .
- ''
Financial Liabi!ities·
_Pa11ables
.
,
• ·
.-
_..
-
-
•'
-
- -1990102POO
-19901020
... ;
'
.
,
.
- . -·
-
.. . i·
..
·1
.
.
-
..
'
Prepaid Rent
.
-
!
'
.
'
:, .
'
'
-
I
Advances
-
l
'
/
I
.J
:
"
401Q1010
· 40101010
. 4010101000.
-·
4010101001 .
...__ • I
40101040
40i0104000
.
..
-.
.·
..
~
.
.
'
\
-
.. -
I
\
I
,..
..
·•'
-
-
, ..
_.
I ' ;, ,
- ..,
'
,
Scanned with CamScanner
t?...4~----::. ;__----:--:-~-:-----~
. Pennit Fees
F s
Regisqation · _ee
40201010 ~
40201020 ~101~,
- · ·
4020 :"-IJ
40201990 ~~
,
-
,·
==
=
==~
-~ -;---Gmcooiot·-:;~
========-==t=-
I
' .
t===Oth=--=
-~=rSe==rvi=·c=~=In=c~?m~e~--=·
,. L_JB~u~s-~in~es~s.j2In~c~;m~e~---:-----:~
- --:
·Tuition Fees
..
. .,
i
40202010
~
_iF=~e~~~-
.L_P~o~w~
. ~:!_r~SU~lp~pJy~-s~;y~:st~em:1
·.
~ - - - r·44(0)2120ITT2~_10,rOiT~402021~
L~- -~-Lan~
: ~-d~
-in~Lg~an~
· ~d.!..P~ar~~~
-ln.R..:.::F.e::e=-s:__
· .. __.;.._1_4_02_02_1~20-t
. -~~
_ !· -
~--_- -,---+-_-:..~
' L-A-ss:;;.i.s_tan_
· _c_e.:._an.;:..d-=--Su~:b~
- ~7id7lt..:...
· __ _
.:....
_
-Subsidy from Nation~_GoverruJ1ent_
··
..
Gains
40301010 _ 40~
..
·
. ..
. . ,_
. -c;·~ on Sale of Prop~rty~ Plartt .c3:11d :
Equipment __
-
~
.
~
·-·
_ __ . _
\
' -· ...- ..
--4050i'040· · 40Sol04oco
_
...
.. -
_ .
~
~
.,, .
-
-·
--
dther Non-Qp~~a~g Inco~e___;, .: .. .
__ . .. ~
Reversal of bfzpairnie~t Loss __ __...: · _
, - _: _.
Revers.a! of Iinp~~nt Lo_ss .. _~ _·_ ~-- ' __. ·.4q602b10_. :4060701~
,
.
. ' ... -·
... . ··-·. - .
EXfENSJ;:S _ __
Personnel
Services
-~ --.. ..,_ .- ... . - · ··-·
. ..
. -- . .- . Salaries rmd Wbies . -'.
~- .
~
'
..
-s91010iooo
.:
-......
_
..,
. _Qther Co~pensatiori'
:_ ·.
..
~t'":----'"---'_~P~e~-r~-:-o'--p~al-:E~~~on.;.:.o:::::.· rn,:_;
:. i::._~;;:;..R...;.~-;.;..ije_f..;.A_l....;l~:..:.~-,:-.an. ....:c....:e·;:;..:..
.. i-:5-01..;..0...:.20_1_0..:..·i_5..:...0l::...Q7-:-0:-:HX~Xl
._ -. (PERA) ._
.
·
~--
~
...
..
Scanned with CamScanner
r
'
~
. ,•
• I
.The Governmen_tAcco~.nting Process
,
·, 75 . . .
The
Accounting
Cycle
. Government
.
. .
.
.
1n· this sect;ion, _we ~l have ·an overview of th~ accounting cy~le
)
1
·of a gov~rnment entity. H~re is a list_' of the·things that we will .b e
lea~~g: · ·
·'
.,·- .
·· ·
.
·, 1.. ApP.ropriation . '·• ._'. ·. . 1,
. ,
. . .
2. · Allotment
·. · ·3. In~ttence qf Obligation
, :, 4. Disbursemei;tt Authority..- NCA. · · . • __ .
. 5. . ·oisbursements
·
.
6. '3illings; Ccillections &Remitt~ces·
7'j :, Unadjusted;tdal"balante
. , . . ._ ·:- · .•·
...
,.
·.· .· _·. s.· }i\djusting entries .
. .. _
·9. . Closing.e ntries
10. ~rep~ation of fir:tanciai s_taterrient~: ... :
'
.
\
•
I
•
I
•
•
I
•:
.
!_ • l.\
•. • •
.
. •. .
·'
'
.
. . . : 1 ,,
.
'
·.
•' : ..... "'
' •:· :,,.
-~
• ·. -..--:·
.. •
..
~
-
The ·tri,a} haj.anc;e.of ~ntity A (a government entity)-at the' ·...
beginning
of the p~riod is shown.
below:
· · · . ·. . .
.
.
..
.
.,. .
-
.,
.Acc~unts
.. . .
-.Cash~- Coll~ctmg·Officers-
.::_ ~- .. :. ·"·.-_::": : "11.ebif~_ · ,, .Credit · \:·,.··: ···..,-'. :: .-~--
.S;OOff·-,:.:
-
Accounts Receivable
.· : . ·- -- · ... : _·. . .. . _ 45,000 : .'. ·.. .. ··Bµil~i~gs
.
. ~-.· : ., < .. ··::. {.:: ·. ··..>··· 500,Q09__ , ':
_·ACC!lffiU_la~efpepreciati.:~:m-.~µi\q.jngs ·.. ,-; .. >--~- ·' .. ~ . .. Offic~ 'Equ)p~el_lt .
.
_ · .::~-1 5,Q,90,0 :- ··
... .· ·_ AccumuJafed Depredation- Equipi:nent·_..
. .•
.. _Atco,unts·Payable ·.· .
_:
J\ccuri\~lated·~urplu~ (Deficit) '. ..
_.. . .
'
Totais
.
.700,00l(
1 •••
.
•
• ••
••
• -~
1
·
:I
•. ,.
..
. ·- '
.
~
;'
...
<~ ·:.
·· • ' ·
.:3-solooo·
.60,:000
20;000 ·.
470,,ooo·•. · _.
700,000 .
====;===::=::::=========
• ·. _. -. N_o~~s: · ·, · . · , .
. . : :· .
. .... . _
. . ..
.
>. The ·p.20,000 accounts payable p~i'tain~ "to office -supplie~ pur~a~.d - . - .. ·_-· in the·prior year that ·w ere already delivered but not ye_fpaid: .
.
,~
- . .~ ~d.ditiohal purch~se of office s~pplie~_-~ ?r~ ~s,9op;. is_n_~t ye~ _
,, ·: ~- recorded in -the atcountjng books pecause they,,_ are:·not ·ye_t _delivered:
· -·.·. ~ :, _ _..Thi~_. prior·y~ar "oblig.atior:t'; i.s described m _the registries as "Not yet
: due and·demandable obligation~_;, .
•
l
.
· -·
!
•
.
Scanned with CamScanner
%
.
~
-~
1. Appropri~tion
. AA . -.·
tin . t ,1 0 .
Entity A receives its G
amo~ , g O , 00,000.
►
Th~ ap~ropriation- is pos~ed. (recorded) in the
Apptopriations an.d Allotments (RAPAL).
R. .
,·
egzstry Of
2. Allotme.i:tt
.
.
. ,
Entity A receives its allotmenfamounting to '960,000 from.
DBM.
-
th~
-
The·· allotment. is posted · (recorde~) in the: _R~gist .
Appropriations and Allotments (RftPA-L) and Registr! of
· ►
Allomients, _Obligations
and- Disbursements·(RAO DJ.: ·.
.
of
~
3. -_. Incurre(ice of Obµgation
Ept;ity Aincurs_obligatioris_-a'mourtting to 1}70~,000. : ..
► The oblig~tions are_'re~org.ed in th~ ObligatiQ_n }.{equest and
Sta4'-s JQR_S) ,documents and Registrie$. -_ of -AllQtinents,
Obligat~ns and Disb-ursements (RAOD). _·
. .
. ... ..
. _,·_
,
. I
I_
.
.
4. Disbursement Aut}l.ority ~-NCA
- _. .. -_ .
. . Entity A receives . the .follo~,ving Notice of Cash Allocations
(NCA), net of tax: - .
.
·_
a. -For_qtrrent year's appropriatio~ _·
·· '
b. ·. For p~~r y~ar's accounts payabl~ and not ye·t du~
~
and. dem~dable
obligations
.
.
I
......
. 600,000
-25,000
-
.
► The journal entri~s are as follows:
~
,;
•
-
,,,-·,_-
•
I
•
•
"
Date , Cas~.;M~i~ed P _
i s~sement Syste~ - :. . ·-
<4.a>··
.,
60o,ooo_
(~S); R~gular
.
: .
. _. Subsi<:i,y fro¢ Naponal Government
..,
· ·
OBM
!
I...
-
~..... .
.
.
•
I
.
.
-. ,
.
To recognize receipt of NCA from the
·
.J
1:-
.
Scanned with CamScanner
•
Tf,e Goven;iment Accounting Process
77
-Date
Cash-Modified Disbursement Syste~
(MOS), Re_g ular
· Subsidy from National Government
To rec~gnize.receipt of Nc;A from the
,
DBM . '
(4.bl
25,000
25,009
I
~
►
The NCA is posted .(recorded) ,in th~ Registry of Allotments
and 'l:Jotice·of Cash Allocation (RANCA). ·
·
s.·. Disbursements
I. · Personnel Services (PS)
a. Set':up_of pay~ble _to office~s and-employees upon appro.Jai
•. · · of payroll. .
•
I
Salari~s.and Wag~s
..
Personal Econo.m ic Relief Allowance (PERA)
.., · ·. .Gross Compensati~n.
.
'
Withholding Tax
GSIS
Pag-JBIG
Philife·
.. ..,. a-.lth
, Total Deductions
,.Net ·
Date
(S.I.a)
200,000 · .
50,000'
~----
I
··· ·
\
'•
250,000, - ~
(40,000)' :
.. . (9,000)
(2,000)
(1,000)
(32,000)
218,,000
•
-------~
Salaries and Wages, Regular
.
. : · 200,000
Personal.Economic Relief Allowance (PERA) . 50,000
· .DuetoB~
· -. ·
Du~ _to GSIS
Dt.ie to Pag..JBIG ·.
Due to PhilHealth
. Due to Officers and.Employees
· ·' -_ · To- recognize, .payable;. to ,._ offtc~~. and
e ·
roll
r
20,000
. 9,000·
- · 2,000
1,000
-218,000
Scanned wit h CamScanner
78 ,
---
I
I
. ,
.· ·--. : · .· d. din the ·o RS.
.
ya
· ble is.recor
.
b . . ·The pa .
. . -e .. .
.
l
•
I
•
I
:· _f·C
··..sh.'Advan~e for ·payroIL
. -c. Grant O a
: · · . ._ · ·
!•
. .
Date.
'(5:I.c )
'I
I
.
.
u
.
..:.
.,
Advances (or ~ayro .'
rnent .
.
·.
.
h~Modified
Disburse
..
.
Cas
. ., . ,
··. · ·s sterri(MDS),_Re·g u1ar .
- Y
. · . . e ·grant :0 r cash adva_nce
. .TQ recogniz
'I .
.
i
218,0QO
. .
l .
. di·.:sburse~ent
.is rec~rcfed
d. The
..
. . . in. the ORS and·RAOb.
r
..
-
_:Liiuidation of P~yrolf~upd .
.e.
.
-
I ...
I
I
,
(5:I.e)
I
.... --- -:. : _:, . ·~ :~ ·-:.:.:,.· . ; . ·_- ;!!...·,·.
......
....
~
218,000 .
C
. ,.
'I''
'
/\cJ~arices· fpi-~~yr_~n. · · ··. ·
· .-. . · To reco'grJize -~iquida!ion of P{ly,:oll Fund
.
.
·,
·.
-
.
.
.I
·~
,: bue.to Officer..s\;md. E~ployees ': ·
bate.
.
.
-
218,()00
-
..
-
..
-'.
• '_<, .
- ,
:·_
•
_.
. ·_ -- - ·. U... : ·--....
.-· _Maintenanie
.
....... . -. . .an~
. . Othe~ ·9perating Expenses (MOOE)
.
'
•
'
I
• ·.. · •.·. ·. · P~rchase-ofoffice·supp#~s: _--: · · . . . ·
~
•
I
I
l .
►
'
--
•'
•
-
-
•
-
-
~
·-
• _,,
:. •
• •
•
•
• -
•
.,
I -
,-··.
.
•
•
•
'
•
-
•
-
•.
•
,.f _....
•
:
-
...
r_
•r
'
•
"11: ~~~-c~hit of-'delivery;_of pu~chased office supplies from ·prior
·:.··: :_·_ ·.: yea~;s. ·ob)ig~tio;z-'·(s~.e ~ote above on .'Not yet due pnd
. .. ·__... ·. ' :_··q{ma~ti_'able
qbligation~
).-... ·
- ... .
.
.
. ~- -..
l • •-
•·
•
J ' .._' •
•
;
.-.
\.
.
5,000;
I"• . ·.
.
•
-
.
,
-
- '.
.
.
.
.
. . · .. . -_ -.- ·,. .· b> ··R~c~ipt .of .~eli,v~ry qf. p:urchased office :supplies
.... . .. :-: .. .:-- . ~o,oo,ofrom. -~n;e-nt
yea,,.s·. 6ljligation:
.
.,,
.
.
.
'·
.l
. .,
..
-
-
.
~p~
.
, .
.
,
I
,
..Scanned with CamScanner
7-9
. Tire Government Accounting Process
- Date
·. 70,000
Office Supplies Inventory
Accounts Payable
:.. To recognize del(very of office·supplies ·
<s.11.,;;
70,000
,·
.
. ,.
)
,I
.)
►
The payable is recorµed frt the ORS.
.
\.
.
.
. ·'
Payment
of accounts payable:
.
.
.
.
.
Entity A pay~-.the -following acco~t~ payab~e:· . .
-
.
.
'..
.
.
_)
·.
c. ~romprio_r year's accoun~s p~yable (se~ trial pa}ance aboije): _. · :·
·.Accounts pc;1yable _'
. . • 201000 ' ,
. ·-. Less::Withh9\ding tax~·s* ' ,. ·· ·':...-_ --:· -· (2,000) . ' . .
18,000 · - .
Net .
.
the . withh_olding ·1axes in;'this ·illti'sfratjori. do
it._. For sim.plification,
not.
necessarily- reflect the provisions o_f r~leva:nt ta~-l~~s.
Date
(5.11:c)
Accounts Pavable
Due to BIR
•
J
··: .. ; ·: • • ' l ' . : •
29,.00.0 ' : .
•
•
1_
•
2,000 ~ . ·- . .
,· • •' •
.. Ca~h-Modified'Disburseµient
.. -.sy~tem (MOS),. Regular·
.-. .,: ;.·. _:.;,~:-• ·... : ... , ,~- ~ :18",()00 · · ~
To recognize pa11ment oJ:..accounts · _·-J . . . ·. ,/ .:
·abl~ ·
I
_
-.
, •
d. F~om prior_year's oblig~tipn (,se~ .ii~te·abg~e on.'Nofyet.due· ·. · _--
-and demandab~ obltgation; and' pr~iJiou·s entry_to ,record the .
related accounts .pajjable):
.,
.Accounts payaple :
. : - },e~s: WithholdWg taxe,s ..
.. _Net ·
--' · · - · -
.
--.
~,qo,b/
J
·'(1...:-,0_0_0'-.'-·)
1•. ..·.- '~_::•·~
. 4,00Q.
.
'
!
'
•
.
,.
·. - . .
,
..
....
. .
,,>
.
r·
.
___
,.
..
Scanned w ith CamScanner
~BOQ__ _ _ _ _ _ _~ - - - - - ~ - - - - ~
Date
(5.11.dJ -
J
Accounts Pay~ble
Due to BIR ..
,
Cash....:. Modifi~d Disbursement
System (MDS), R~~ar _ To recognize paym~nt of accounts
l
1,00o
4,00Q .
able
Co'mmtm Fund° System
.
.
.
To maximize the ayail~?le NCA~ <?{ ~~ _a ~n~{ th~ . Comm~n .Fun_d ·systerr,
olicy shall.be adopted whereby.
, cash allo~tion bala_n ces of· agencies under•
P
. the Regular_MDS ~cco~t ~ay ~-~u~e~
co~er -P~~~t of cu~rent Yeats
accounts payable, 1.e., goods and servin:s which have been delivered. accepted during the year charge~ against appropriations of.prior year/s,
satisfying _their i:egular ·operating requiremen~ ~ ' reflecte<;l m, their Morith]y _ ,.
Cash Prqgram. (GAM for NGAs, Chaple.r 6, Sec. 3) . , · . . ,. , : ..-. : ,
_.. ·- .. , -
!?
a:! .
e. ,From cu,:rent year:s_
.accoupts·_pa:y~ble;
-.
.
.
'
.
-· -· . -:'
.
'
.,, . . ..: ~
.:
) .• - -60,000
. .-. •:,
:(3,000) __ ;_ ·. ·._:_'.
. . . :_Accounts paya}?le _ .
;t,ess: Withholding taxes·
Net
I
I
i
.- sr,ooo ·_ .· , ..
\
··.
Date · · Accounts Payable
, · (5.II.e)
•·.·
. ·,,.
,
_Dueto BIR · Cash -- Modified Disbursement
Syste~ (MOS), Regular.
.
~ 0 recognize P'!!fn,etz·t 'of,acc~u~ts
60-000'
. ·-'
. -
. ·.
· 3(000
5?,000
a able_
·. t
Operating expens,es: .
,_· .- , .' . ·, . .. , .
f. Entity·-: A pays ~or .the f~llo~ing expen~e~;_
. ', _.
• ,
,water
. · Electricity
~elephone
I
1,000 '.
~,000
2,000
Scanned with CamScanner
· The Government Ac.counting Process
\.
'81
'
·. ·Janitorial ·
· Se<;urity
Total
Less: Withholding ta'xes
·. 10,000
12,000
30,000
(2,000) - - .
. 28,000
,Net
·
Date. · WatE?r Expenses
_
'-(5.II.f) . Electridty E_
x penses
'.
Telephone Expenses-. .
Janitorial_Expenses ·
_.Se~rity Exi:ienses
Due to BIR . · .
Cash·- M~difi~cr'Disb~rsem~~t
System (MDS), Regular
To recognJze isst,tance of MDS checks ·as· ment ·or e enses
. ,:
-· . _ ·, Cash advances fo_r travel: .·
.1,006
5000
'
2,000
10,_Q00
12,000
'
- 2,000
,·
.
...
.
..
I
28,000 l
1-
_.
g. :entity'·A grants-a cash advance_'of·~i,009:foi· the _traveling
· expenses of an office_r:
·. ·. · ·
,,.. ·
.
.
'
.
-Date
?
(5.II.g)
,
--,
•:
,
to
.,.
--·
,
Advances Officers ~4_-Employee~.
Cash__; Modified Disbursement
System (MOS), Reguiat
,.
To recognize.gran~ of cash'adv.an~e for,'
,-
.
'
.
~-.
✓--
.,
tr4l)el
·-·
iopo
.
•.
,
r
2,000
i.' ~
,
'
.
'
'
-
-:. ~ '. .'AU· .J h~ . disbursements" above :(payme!ltS ·. of . acc~unts
payable, op~rating . expenses~· and . cash , advance) are
re!2~r4edin tlie ORS and RAOD. ·
.
.---
.. ,
. ~·
..
'
:
' h. Li_q uidatio~ o( cash adv_an~e: . ' . . '
I
•
1,800·· · ..
. · Date . 1):iaveling·Exp~ses - Foreign -_ ·. .
.I{.h> '_ -- Adv~ces to·Officers and Employ~es · ~ ·
5
, _<
..
' ·
~
1,800
To recogni~e.Jiquidatiim of ~ash adtJance ,
.for travet'
·• :, . ·
.
--
Scanned with CamScanner
Ch
~82~-=--~-----:-~-------~
·d d~posit of refund of excess cash ad van
.
i.. Receipt an .
Date
(5.11.i.V
Date
.
ce:
.
'
-200
Cash -Collecting Officers .
. .
. Adv~ces·to Officers and Employees
To recognize refund ofexcess cnsh
advance ·r travel .
Cash .... Treasury/Agency D~posit,
200
<s.Ii.i.lJ -Regular
.
·
·
r·
Collecting Officers
.
To recognize remJtta_nce ofthe refund
o excess cash advance or travel
cash -
►
.An
adjustment-for _the
ORS and RAOD.
\
~Xq!SS
•
.
/~as~ adyan~~-~ m~de on'the
.
I -
• '
.
.
•
-
. . -. ~
Entify A issues office sup:plies worth P63;000 fo· end users:
'
~
(5.Il.j)
•
.
1
Date
_ ... ·
' .... ;
Issuance of office s·upplies t<? en4·· ~sers _:
j.
Offlee Su ppiies f:?'pens.e .' .' - .. '
_Office.Supplies Inventory . : . , .
To record the zssuarice ofoffic{supplies
...
to etJd users
. ..
., !"• .~ :. • : ; f ,: - ..
,
. ·- ..
63,000
.' .
..
'
..
•'
.<
'
,.
_,:;.
-
-
-C"
<
-.. :§3,000
--
- -...: -i;.'
•·
. ~ ! , . .: F ' -
~
. ,,:·
.-,; III.
.
-
.
Capital Outla.ys·(FO)
._, Pu_rcha~ of office equ'zpment .--.
. . : .. ~ . ·.
a: · Receip~ ?~_:deli~ety ·of p~ch~s~d qffice ~quip~ent ~orth
P300,000 from, current ye9r's obfiga;tion. - . . . . · · · -
-.
.-
.
.
.
.
' ;..,
Date
(5Jll.a)
Office Equipment _ . Accou·nts Payable
To
recogniz.e /
• I
••
· .
delivery_. of
!,
. :
••
--
:.
_
.300,oOO
..
offic~
t
.,. .
_..
·300,000
•
I
~~
.
I
,
"
:
I •
• , 1
'
,. '
-
Scanned with CamScanner
\
The Government Accounting Process
'
83
· b. Payment ?f accounts payable .
. ~ _c c~unts payable
Less: Withholding.taxes_
300,000
(20,000j_
-280,000
· Net
..
..
;
Date
Date
-
- .
- -
Accounts Payable
Due to BIR . .
'(S.JII._b) .
Cash - Modified _Disbursement
..
System (MOS), Regular
.
To recognize payment' of ac9ounts
payable
-
I
'
300,000
•'
20,900
· 280,090
•.
IV. ,.. . Remittances'
of-amouitts·withheld- . .-,__.
\
a.
Date
(5.W.a.1)
··_ D,ate
(5,!Y.a:2)
..
Entity A remits the taxes withheld_through ):RA. .
Cash-Tax Remittance Advice · ,·.
Subsidy froq,. Natioha}G6veDU?1,ertt
To recognize the ·constructive·receipt of
. NCA for 1TRA
...
Due to,BIR <a> ·
-..
,
·--,.
.- \ Cash-Tax Remittance Advice
. ·- To recqgnize the co,:istructive remittance
of fax_es tpithheld to the BIR through TR,A __ .,
·4a,o_
bo
48,000
,·--
'
48,000
-
.
--4s·ooo
I
•
,.--(
,
-
.•
_
/
I
~
•
,I
-·
- ·ca,> Due
.::
to BIR
.
.
~0,Q00 · (5.ta) . ·.,
.
2,000 ~ . . ·(SJl.c)
1,0Q0 _.. (5.II.d) _,
3,ooo -·(s.Ii.e) .
2,000 . (5.Itf)
20;000
~~....::;_--:--t----;-r----
.
_(5.111.b)
48,000
.l .·_. ,,
~
b< E~_tity A.re~_its !4~-follo~g -to the GSIS, Pag-IBIG .a!)d
PhilHealth; ,
Scanned with CamScanner
. 9,000
2,000
·1,000
GSIS
P~g-IBIG
1
Phi1Health
12,000
To-~al
Due to GSIS
Due to Pag-IBIG
Due to PhilHealth
Cash-Modified Disbursement
System (MOS), Regular
To recognize remittance to GSIS,
9,00()~
2,000
1,000
Pa~-IBIG,and PhilHealth
r--
c. The disbursements abo.v~ are recor4ed -in the . ORS and
RAOD.
6. Billings, Collectio~s & 'Remtttan~es
~- Entity A bills the following ~evenue/income:
·
100,000
80,000
180,000-
Power supply system fees
Li;Ulding ·and parking fees
Total
Date
-(6.a)
'
-
180,000
Accounts receivable
Power Supply System Fees
Landing and P_arking Fees
To recognize billing of income
'
100,000
so,000
b . Entiry A collects Pl00,000 ac~ounts r~ceivable frolll _tbe
- billing above and remits P90,000~ of the collection.
Date
.. (6.b.1)
Cash...: Collecting Officers
-- ·Accounts receivable ·
.
. . \
.
_ . i:q, recognize collection of current year's
billedincome ·
100,000
,,r,11
100,UV"
r
Scanned with CamScanner
'The Gov~rn~nt Accouttting Pro,cess
85
-
Date
Cash-Treasury/Agency,Deposit; Regular
.
Cash - Collecting Offi~rs
To ,recognize remittance of income to the '
BTr
(6.b.2)
,,
\
90,000 ·
I
90,000
-
• As a general rule,,all revenues of an entity mu~t be remitted to the BTr ·(Sec.
65(1), r:i;>. No: 1445).· However,. there are cases .where other laws permit an.
entityto retain some of its revenues -for specific-uses - thus; the'unremitted
collection c;,f Pl0,000 above (100K collection l~ss 90K remittance).
.
.
c. Entity A C!Jllects :1>45,000. acc?~ts .r~ceiva~le from
year's billing and remits total colle~on. -. .
.
Date
(6~c.1)
Date
(6.c.2)
.
Cash_- Collecting Officers
Accounts receivable
.. · To recognize collection_of prior year's •
biiled income
: .. . . ' -:
..
45,000
Cash-Treasury/Agency Deposit, Re~ar·
Cash - Coll~c~g Offic¢rs ~ ... ·
To iecogniz.e_remittance 'of income to the
BTr
·. 45,000
'
~
•
•
.., ,
prior
45,000
·45,000
j
•.
d~ .Eritity 'A.collects .u·nbillect ~ervice"mcq~e "
6£ P37_0,000 -and .. · remits P340))00 of the total'collection:
Perinit fees
Regis_tration fees
· 0th.er service income
.
..
.
I
· j :·
'
,
..
Cash - -Collecting Officers
Pe'rmit-fees
- ': '
,
Registration fees
Other service income
To recognize· collection• of unbilled .
serviCJ! income
-
(6.d.1)'
• _
. 370;000
• Total ·collection
Qate
200,000
· 160,000
10,000
370,00(f
.,
-
. 200,000
'160,000
10,000
-
.........___
Scanned with CamScanner
Date
(6.d.2)
.
.
A ncy Deposit, Regul~r
Cash-Treasury/ ~e. Officers
.
. . . Cash- Coll~ctmg ·ttance of.income to . To·recognize rem1
340,000
.
----...L-----L_-
the B'rr
-· ·
·
· · to· fees from regulatory functions ., ·
· ·. . • " - refers
· ·.
and .
"Unbilled ~venue/mco~; no direct exchange. of services_?! g_
oods. -: ·. .
·
--
·collections of re~en~e Wl
I
•
. . .. ,
- .. :
. .. .
..
.
. ,
..
•
.
.
,
. A . collects unbilled tax .r eyenue thr°.ugh . ~ire~t .
e. Erttity
- .A
. . t B ks· .. . .
·d_e· pos_
· ·t·t t·n •A·-uthorized . .gen: .· a. •.· ·
n·
100,000
. 100,600·
Immigratio~ Tax-Total-
Date
· -(6.e)
'
,_
Cash-Trea~ury/Agency .O.eposit, ~eguiai·> ·. 100,000 . '
1oq,090
.- . lmn:rigration 'I;a~ ~ , . .· _·:-:- _· .- :.-_:;: ·,_-·;
··.. . Ti:J recognize coflecfi~n and rem:_it~ance-of ..
. -.
..
income-to BTf through.Authorized Government
.
. Depository -Banks)A.GDB)!'Governmeflt' S'err;icing'
.·, ..
····=·-·
Banks (GSB)
I
. . ·,·
·1
•
•,
!
.
~
-
-
I
·,
•
·.··:The_• ·coll~~ti_6 ~.·,{au~om~ic~~y , ~~~\tt~? ·t o_:the Na#onal ·
.Treasury because it is m"de through ~}\e l~t;t,e r' ~ .b ~ _
acco~t.
·. . .
.
.. - . . ... ,,, ... - ;.._
.. . :-· .
.· .
·.
.
'
'
,
_
-
~
~
: ..... -. , .. ·. •.
7.· Unadjuste<J~al balance ·
. ~ unqdjusted tiial. bal~nce is a list., of
..
.
the~acco~ts in.· ~e
~ner~_.Led~e~Jogether with . their ~al~ces~· Its..p~~p~~e is to_
test _the equahty .~of total .depits .
-t~tar ;credits -in~· lhe
accounts.
_ · . ,.
· •. •
. . -. · ·· ..
·
· ·
and
Before ~~. C<l!l ~repafe Th~ un.idit;~ied triiil balance, .•
-. "".'e need
to post first the
Journals
en tries .ab ove• in
. · ·the Generpl
.
.
.
.
l' - •
. Ledger.
.
. ··
·
.
· -:- _
.·
C
·. ·.
1 .
.
Scanned with CamScanner
The Goveri-iment Accounting Process
87
GENERAL LEDGER
. ASSETS
Casb.
- . Officffl
. bfJ.
S,ro'.I
(SJLl,1)
200
(6.1>.1) 100,ro'.I
(6.c.1)
(Ui)
'5,ox)
-~Regalat
Cull-Tlf
- 200 (5.IW)
~.IW)
200
90,ro'.I (6.bl)
'5,(KX) (6.c.2)
(6.bl)
90,(KX)
'370,ro:, 340.tXXl
45,ro'.I
("2) 340,ro'.1
(6.cl)
(W)
45,000_...
<"->
0
Cm-Modi&td Dis~mi S nn (MOS), Regalat
(4.a) 600,(KX)
(4.b) 25,ro'.1 218,(KX) (51c) ·
'18,(KX) .(5.D.c)
f,OCO (5Jl.d)
57,(KX) .(5.ILt) ·
100,ro'.I
28,ro'.I (5.DJ)
575,200 ...
2,ro'.I (5.D.g)
.
] 80,ro'.I _(5.IILb)
_ _ _i_i,ro:,_ (5.JV.h) '
6,000 ...
I
•
Accont, Reui1111ble
c.a.:Tu Remtta~ Aioi~
(5.IV.a.1) ~
,000
48
·
.
,
·
.
. 48,000 (5.IV42)
-
--
al.
beg.
45,000
(6.a) .~80,000
Office Supplies 1"11ntory
(5.U..)
100,000 . (6.b.1) (5,D.b)
45,ooo (6.c.t) " ·.
5,000
70,000
63,000 (5.U.j)
12,000 nl.
-----lf----
80,000 n4.
Btn1'i•gs :
-+-,----
1,eg. _soo~,ooo_
. 500,000 - .
. I~
-. . 60,ooo -.
Aunt. D,p,Ycu~ -: Bllgs.
al.
A - . .oipiirc:kHoti - ~ I
60,000 :beg. , (5~c)
. . Offi~ EJr,ipmnt
_,· 11so,000 .1,eg.- ._ bes·- 1so,000
1.50,000 (5.ID.a)- 300,000
- - - -450,000
- - m.
AiN•~• or P• oll _
218,000.
· , ~
21s,ooo: csJ.e>
n4.
cs.iJ.g>
., 1,800
(5.U.h)
"
(5.ILi.l)
200
,.
.
\-
. '
·.
Scanned with CamScanner
, · ·90
~---.
_~...:.--~------~---:--:---..:·.~
:·.C.: hapte
r3
.. . . . . .,_
-
.
The
.
.
ged according to their sequen .
unts are. arran
.
. . ce in
.
aCCO
· t (RCA). (GAM for NGAs, Chapter 19, Sec. 48)
. .• d Chart o~Accoun s .
.
. .
the Revise
. 'J·
.
._
_
-.
.
.: • • r
s.
Adjusting _entrlfes:.· - d.Notice of Cash Allocatio~ (NCA): .·
Reversion o .unus~ .· _
·
· -·
2. Depreciation expe~~~s:
i. _ .. :Buildings - PS0,000
ii: Equipm~nt':... P30,000
3_ Allow~ce for ·. hrtpatrme~t on accounts , receivable of
· 1.
Pi,0D0. .
_The _
a_djusting entrie~ a~.~ _as_follo~s:
Date
(B.a)
~
·subsidy frcim_
·Natiqn~l Qov~~ent_
.
Cash-Modified Disbursement
. · , · ~ System
i~gulfll' ·_·· · ·
, _
. 6'000
I
To 71co~ize rev_ersfon of unused NCA
_·.
I?ate Depredation~~l.iil<;l,ing~:-& .O ~er-:Sµ,..tc~res . 50,000. ,:;· ..
,f~~b·1 f · :Ac~mulateq I?epteci~tio~.:.. Bidgs. ·
sq,ooo
·
· To reco~jze-depr~ciatipn.of_bi#ldin~s
··
_..
·· ·
Date D~pr~ci~tion-M~~~,ry arid Equipment
.?0,000
:
~s.b.ij
· ;\ccumµlat~d-Depretjation -:--·O.E.
_
-.~0,000
·· · ·.'To·recognize 4epreciatio,rrofoffi~e ·
.~ . . ~,
··equivment
·, ~ .,:·
.
'
.'
. . . ~: Impairment Loss ~ Loans and Receivables . i 2,000
· ~owant~ for,lmpairiherit-~,A/R ·
.. ·2,00o·
'. . .. To re~ogniz.e lpss a~lowance on acco~n ts ,
,
· .-~ :receivable . · -·
·
·, .
(MD5.\
! ..
'.
-•_
:.:
·.-'.
:in~ a~justed
trial balan~e is ~hown b .I· ·,. . ..
.. . .
.
e ow.
, ·.
' .
'
.
Scanned with CamScanner
--
....
(1)
C
C
ro
RCACode
~b
Cash - CoUecUng otflcers
Cash-Treasu.rv/Agency Dq,llslt. ~
'l)'l)QI)
'l>104010 .
Cash·Moditied ~ t Sy stem ( M O S ) . ~
10104040 I
Accounts Reodv •ble .
Office Supplies Inventory .
10301010
BuJldlngs
.A0cumul.-tcd ~
Office Equipment
tion - Build1ngs
.
Aca.unulatcd 'Deprec:1..-tion - Equipment
Accounts'PAy•ble
Aa:uznul.-tcd Surplus (Deftcit)
Imznigr• tion Tax
Pennit Fees
Registr•tion Fees
Otha-Service~
Power SuPflY Sys tem Fees
1...-nd!ngand P&ridng Fees
Subsidy &o.n NaUOnal Govenuncnt
s..1ar1es anc1 W•ges, Regular
Personnel Economic.Relief Allcnvance (PERA)·
Tr•vcJJng Expenses • Foreign
Offlce Supplies_Expense
WAter ExpcnMs
Electriclty Expenses
Telep1-le Expenses
Janitorial Expenses
Sea&rity Expenses .
, 10404010
~
106040TI
10605020
450,000 .
lznpalr'lnent t..osa- Loans and Recielvabln
Allowance for b n ~ t -Accounts ~ v • b l e
Tota&
AdftutM.atu
Debit
-
so.~
450,000
30,000
10,000
. 4 70,000
100,000
200,000
160,000
10,000
100,000
80,000
. 673,000
401Cm40
402010'I)
40201020
-40201990
402020)
10;000
4 70,000
100,000 .
200,000
~160,000 .
10,000
1 00,000
80,000
667,ooo·
6 ,000
200,000
50,000
50201)20
1,800
50203010
· 50204010
, 63,000
1,000
5,000 · · ·
2 ,000
10,000
1 2,000
1,800
I
~63.000
1 ,000
5,0()0
2,000
1(?,000
12,000
'
;
505(0040
50,000
i30,000
·. 2,000
505010l50
50503020
'103010lt
50, 000
.
~ .000
•. 2,000
·2,000
:z.o:u,ooo
:z.o:u ,ooo
88.000
88,000
. 2,000
2.089,DOO
-~
C
C
ro
(.)
,9 0,000 ·
200,000
50,000
u
.c
.....
(1)
2 00,000
50, 00Q '
E
ro
-0
12,000
.. 500,000
6Q,000
~
Cf)
Adj,utc4 niczl Bcl.nDebit
Cretllt
45,000
5 75,200
Cretllt_
6,000
150,000
'
20101010
301)101)
50204020
50205020
50212020
5021203(>'., ,
,
-000
10605021
AAIJMs,-_ts: •
Deprec:L.-Uon•Build1ngs 6: Other Structures
l>epreda~-Mac:hlnery and 'Equ.lp~t
Uluulju,tctl 1rlal B•' - Credit
Debit
45,000
5 75,200 _
6,000
, . 80,000.
12,000
. I
'l>606010 ·:
40202t20
40301010
50101010
50mo10
(.)
· 91
The Government Accounting Process
- . 2,,089,DOO
Cf)
. · Closing entries
. · .
·
.
.
. f ll , . are the necessary.closing entrtes:
9
The o dwmg
.
.
·
·
a. Closing of the "Ca51t-TreasurylAgency ~~osit, RegU111r,,
· ,. t t 'the·"Accumulated Surplus!(De.ficit) accoun
· t.
accoun o
.
. · .
•,
b. Closing of\he "Subsidy_froin National,,Government" a~1
the "Revenue and _Expense Summary account.
.:
00
C• . . Cl~sing of.i~come and expense
accounts . to. the..-"R~enue
.
a'n.d. ,Expense Summary"
account a11-d closing of the ~
.
balance of "Revenue and Expense Summary" account t0-:the
~'Accumulated Suryl.usl(Deficit)" account. ·
,
·
Only closing entries' (a) and (b) are uni(jue
govenunertt entity.
.. .
,
..
'
to a
...
. .
'. 575,200·
Accumul~ted'Surplus/(Deficit) .
575,200
C~sh-Tre-asury/ Agertcy-Dep:osi t,
Regular _.
.
..
To·recognize closing of cash·deposit .
-accou~t : --.
..
_'·
:6§7,0Q0
·bale Subsidy from Natiorial:~GoV'errunent
.
, ~~
~ .:_
. Revenue ~d E~pe~se-Summcrty
_
. . .To T~CO£nize closih~.ofsu_bsid11 account
?Jate_ . Immigration Tax . . <
·.
-. . · 100,000
(9.c.1) _ p
.-. · - - ~
·
200,000
enru·t Fees
·
.R~gistrationFees
160,000'
. Other-Service·Income . . .
. 10;000
.. , --·Power Suppiy Syst~mFees .'. .
.100,000
. . . ~ anding and Parking-Fees .
80,000
.•
Salaries·and Wages, Regular
200,()(Kl
PERA ' . _.
nl
- .
• so,OOo
Date
<9.a)
~
,
I'
.'
.
Tra~i,iing ~xpenses _f i>reigll
· Office Supplies Expense ·
,
Water Expenses .
.
EJectricity Expe~es .Telephone Expenses
..
JanitoriaJ Expense~
Security Expenses
i.--~-- -:._D___.eP·~r_e_ci_ati_·o.:..n;,.:. . ~B=,:l:.::d:o:g·s~,_
_
··
1,8(11
63:00o
.,
,
i,O~
5,0~
-·
z,O~
· 10,~
1z,oOO
~~
_ _ __ _j__ _ _JI
Scanned with CamScanner
r-
93
·The Government Accounting Process
. I
-
-
--
-
--
Depreciation-Mac. & Eqllipt.
Impaiqnent r-,oss - L/R
.
Revenue ~d Expens~ Su~ary
To recognize closing of incom~ d,:zd
expense accounts
Revenue and Expense _S ummary · __
' : Acp.ii:nula~ed Surplus/(Defic~t)
To recogr~~e closing of revenue and
expense ·summarv-.
.
;
.,•
.
Date
(9.c.2)
. .
-
-.
·.30,000
2,000
223,200"
-
- --
890;200
. .
-
890,200
-
"
,
'
'.
The co~pleted w_orksheet i~ shqwn belo~:
t
.,.
.•
•
.
.
•
•
I
.
.
I
I
.
"
. ..
.
,.
.
.
.
'I
•
/
I
)
.
I
,
-
,r
f
J
Scanned w ith CamScanner
Scanned with CamScanner
. vernment Accounting _Process ·
-
The Go
~
-
· ·.
95
.
Preparation of fina~cial statements .
.
10
· Th·e· Statemen·t.
of Financial
.Position and
Statement
,, F'
0'J.
.
,
•
_
manc,a.,1
Performance. are . shown ?elow. We will prepare the other
components of a complete set of .financial statements later in
Chapter 14.
. E~TITY A
S_TAT~ME~T.OF .FINANCIAL :POSITION
(REGULAR AGENCY-FUND) ·.
AS AT .DECEM!JER 31, 20X1 · .
-·
ASSETS : . .
currentAssets
•" ·
Cash and·Cash :Equivalents
Receivables
Inventories
Total Curr~t As~ets
.·
.
Notes'
'
..
,,
I
•
_. · . . · .- . 45,000·
· ·
· 78,000
. · . . . · .· , - 12~000 ·
13q,000
,..,:-:-:
,.,:-:
,,- . - - " - - -
· -'
.
'
1_
Noncurrent.A,ssets ·
Property, Plant and Equipment · .
•
-
•
JI
'
•
-...
. : .• . · ·. ·. ' · · 1 .
Total Noncurrent Assets
·•
660
000
•
I
··. --660,000 ·
,.
TOTAL-ASSETS .
.
..
· ..
··
795~000 -
Current Lfribilities ·
Fiharicial Liabilities
Tot~l Current Liabilities
10,000 · .
10,000
TOTAL LIABILITIES
10,000 .
TOT~t ASSETS less TOTAL LIABILITIES
.
-785,000
-.
_ _NEr AssETS/EQu1TY
.
· · :A~cutnulate~_Surplu~/(Deficit)
_T(?TALN:ET-~SSETS/EQUITY
785,000 ·
.·7ss,ooo
._
Scanned with CamScanner
.
nnel Services .
Note 4: Pe_
rs~. nsists of the fQllowing:
This acc~unt co
. .
.. .
.
. . and Wages, Regular
Sa1anes
PERA
20{),OOo
i
'
~OOo-
~
Personnel Services .
Notes~Maintenanc~ and Other Operating Expenses
· This account co~ists·of the following:
·. · Travelfug Expenses - Foreign
Office·Supplies Expense , . ·
.
-Water Expenses
(.
·1,soo .
63,00)
1·,ooo
..- .
~
5,000
.· 2,000
· Electricity Expenses
Tel~phone Expenses
J~torial Expenses
$ecurity Expens~s
10,000 .
=·
M~intf!nance and Oth~r Operating Jxpenses
. , : 94,800
.
Note 6: Non~cash Expe~ses · .
.
~ aC~(?illlt co~ists of the following: .
.
. .. ., .
,· · _ : .·sopJo
: Depreciation-Buildings & Other _s ;~c.t ures .
· - · _ Depreciation-Macltlnery and Equipmen~ · .·
/ Impairment Loss - Loans and Receivables
' · -.
No.,n-'!'l-sh Exp_enses
•
. .
.
'
.
. _.
. 30,rol
~
· .. 82,021-
I
.•
,,
.
n;ooo.
~
.•
r
. . .
"· .. . -
Scanned with CamScanner
,.
Scanned with CamScanner