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Fabm2 Module 3 SLM
Fabm2 Module 3 SLM
Fundamentals of
Accountancy,
Business and
Management
Quarter 1 – Module 3:
Statement of Comprehensive
Income
SELF-LEARNING MODULE
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SELF-LEARNING MODULE
This learning resource hopes to engage the learners into guided and independent
learning activities at their own pace and time. Furthermore, this also aims to help
learners acquire the needed 21st century skills while taking into consideration
their needs and circumstances.
In addition to the material in the main text, you will also see this box in the body of
the module:
As a facilitator you are expected to orient the learners on how to use this module.
You also need to keep track of the learners' progress while allowing them to
manage their own learning. Furthermore, you are expected to encourage and assist
the learners as they do the tasks included in the module.
For the learner:
The hand is one of the most symbolized parts of the human body. It is often used to
depict skill, action and purpose. Through our hands we may learn, create and
accomplish. Hence, the hand in this learning resource signifies that you as a
learner is capable and empowered to successfully achieve the relevant
competencies and skills at your own pace and time. Your academic success lies in
your own hands!
This module was designed to provide you with fun and meaningful opportunities
for guided and independent learning at your own pace and time. You will be
enabled to process the contents of the learning resource while being an active
learner.
What I Need to Know This will give you an idea of the skills or
competencies you are expected to learn in
the module.
1. Use the module with care. Do not put unnecessary mark/s on any part of
the module. Use a separate sheet of paper in answering the exercises.
2. Don’t forget to answer What I Know before moving on to the other activities
included in the module.
3. Read the instruction carefully before doing each task.
4. Observe honesty and integrity in doing the tasks and checking your
answers.
5. Finish the task at hand before proceeding to the next.
6. Return this module to your teacher/facilitator once you are through with it.
If you encounter any difficulty in answering the tasks in this module, do not
hesitate to consult your teacher or facilitator. Always bear in mind that you are
not alone.
We hope that through this material, you will experience meaningful learning
and gain deep understanding of the relevant competencies. You can do it!
What I Need to Know
In this module, you will prepare a SCI for a service business using the single-
step approach and to prepare a SCI for a merchandising business using the
multi-step approach. ABM_FABM12-Ic-d-5, ABM_FABM12-Ic-d-6
Learning Objectives
At the end of this module, you will be able to:
a. Prepare a Statement of Comprehensive Income for service business using
single-step form
b. Prepare a Statement of Comprehensive Income for merchandising
business using single and multiple-step form
c. Prepare a Statement of Comprehensive Income for merchandising
business using periodic and perpetual inventory system
What I Know
Hello! In this module, you’re going to learn the preparation of the Statement of
Comprehensive Income. But before that, you are going to answer first the following
questions. Start now.
Let us have a quick review of the previous lessons regarding the topic: Check your
understanding of the following terms.
b. Multiple-step form
Instruction: Write your answers on the box provided below as you cite them even if
there are wrong answers and differentiate single-step form from multiple-step form
and periodic inventory system from perpetual inventory system. Your points are: 8
points for a and b and 7 points for c and d, a total of 15 points.
Notes to the Teacher
This contains helpful tips or strategies that will help you in
guiding the learners.
What’s New
What to do:
Instruction: Answer the following questions indicated below the given data.
Cash P 3,700
Accounts Receivable 450
Repair Equipment 4,000
Accounts Payable P 1,200
Mabuhay, Drawing 600
Mabuhay, Capital 6,000
Service Income 2,300
Rent Expense 150
Salaries Expense 400
Supplies Expense 200 ________
Balance P 9,500 P 9,500
Questions:
1. What do you think is the result of the operations? Use calculator to get the
result and no need to show computation.
2. What forms of business arises in the problem?
Write your answers on the box provided below.
Answer
1.
2.
Matibay Auto Repair Shop presented the following data for its first month of
operations in March 31, 20A (in pesos)
After preparing the work sheet, Matagumpay Merchandising decided to prepare its
Income Statement for the year ended December 31, 2018 (in pesos).These are the
following available data for the report.
Instruction: Based on the data given above, prepare the said Statement using
Perpetual Inventory System and Periodic Inventory System. Write your answer on
the box provided below.
Activity 4: Do it for me!
The following accounts shown in the Ledger of Hayahay Talaga Service for the
month of December 31, 2018 (in pesos) are as follows.
You’ve just shared your personal thoughts, knowledge and experiences with the
recent activity. At this juncture you are now ready to explore the Statement of
Comprehensive Income which is to prepare a Statement of Comprehensive Income
for service business using single-step form, prepare a Statement of Comprehensive
Income for merchandising business using single and multiple-step form and to
prepare a Statement of Comprehensive Income for merchandising business using
periodic and perpetual inventory system. Let’s discuss the different activities
In Activity number 3, In the first Statement, we can see again the result below is
the proper presentation with the name of the business, name of the report and the
period covered and it follows the elements of Income Statement which are the
Revenue, Cost of goods Sold and Expenses and generates a Net Income of P203,350
and it is obviously, multiple-step form used by the merchandising business. In
addition, functional method of expenses was used and it is under the periodic
inventory system. The Net Income/Profit for the month is P203,350
The second statement, same heading, elements, same result of Net Income and
same multiple-step form used by the business but natural method of expenses
was used and it is under the perpetual inventory system. Net Income/Profit for
the month is P 203,350
What’s More
Congratulations! You have just finished your activities given to you, Now, we will
have another activities that may help you understand and develop skills about the
topic.
Instruction: If you are going to compute the given data, what will be the result
among the three account titles? (in pesos). Write your answer on the box provided
below. Show your solution.
Activity 7: Let’s compute this!
If Matatag Company Sales amounted to P 500,000, Beginning Inventory totaled
P 250,000, Ending Inventory amounted to P 50,000 while Net Cost of Purchases
totaled P 85,000.
Instruction: Compute the Cost of Goods Sold. Write your answer on the box
provided below. Show your solution.
Purchases 54,200
Purchase Discounts 396
Purchase Returns & Allowances 500
Freight-In 500
Merchandise Inventory, End 25,304
Merchandise Inventory, Beg -0-
Online Just Marketing presented the following operating expenses for the month.(in
pesos)
Part 1
Instruction: Identify the correct answer of the following statement. Write your
answer on the blank space provided after the number.
5. Write the heading, the ____________________and the date covered. (for the
period ended.) are the Steps in preparing the Statement of Comprehensive
Income of a service business and merchandising business:
Part 2
Instruction: Write TRUE if the statement is correct and FALSE if the statement is
wrong. Write your answer before the number.
What I Can Do
Now, it’s about time for us to use our knowledge on the preparation of the
Statement of Comprehensive Income for service business and merchandising
business using single-step, multiple-step form under the periodic and perpetual
inventory system.
Let’s do it!
Activity 11 Think about this!
Situation 1
You are engaged in buying and selling business and incurred a loss of P 10,000 for
the first month of operations.
Answer the following questions. Write your answer on the space provided below.
1. What do you think is the reason why your business incurred a loss? What is
your proof?
__________________________________________________________________________________
__________________________________________________________________________________
__________________________________________________________________________________
__________________________________________________________________________________
___________________________________________________________________________
___________________________________________________________________________
___________________________________________________________________________
___________________________________________________________________________
Situation 2
If you are the Bookkeeper of Lyn Marketing and the manager instructed you to
make a Statement of Comprehensive Income but there were no Purchases,
Purchase Returns & Allowances and Purchase Discounts in the chart of Accounts.
Question:
Can you prepare the said Statement? what specific inventory system you should
use?. Write your answer on the space provided below.
__________________________________________________________________________________
__________________________________________________________________________________
__________________________________________________________________________________
__________________________________________________________________________________
__________________________________________________________________________________
__________________________________________________________________________________
Assessment
Hi! Now that you have learned about the preparation of Statement of
Comprehensive Income, let us test your knowledge and understanding of what we
have discussed.
Sales 42,000
Sales Discounts 240
Sales Returns and Allowances 800
Merchandise Inventory, March 1 20,000
Purchases 54,200
Purchase Discounts 396
Purchase Returns and Allowances 500
Freight In 500
Merchandise Inventory, March 31 25,304
Salaries Expense 2,000
Freight Out 200
Advertising Expense 1,000
Rent Expense 800
Utilities Expense 600
Instruction: Encircle the letter of the correct answer. Show your solution according
to the elements of Statement of Comprehensive Income. Write your solution in a
clean long bond paper or any paper available to you and attach it to the module.
Problem 1
1. How much is the total of the debit column?
a. 40,960 c. 35,292
b. 55,596 d. 80,340.
Problem 2
Instruction:. Encircle the letter of the correct answer. Write your solution in a clean
long bond paper or any paper available to you and attach it to the module.
Additional Activities
Congratulations! You made it until the end of our lesson. I know you’ve
learned so much about the preparation of a Statement of Comprehensive Income
for a service business using single-step form, preparation of a Statement of
Comprehensive Income for merchandising business using single and multiple-step
form and the preparation of a Statement of Comprehensive Income for
merchandising business using periodic and perpetual inventory system
These activities can help you improve your knowledge and skills in the preparation
of the Statement of Comprehensive Income in a service business and
merchandising business.
Read the problem carefully.
1. At the end of the first month of operations for Masipag’s Delivery Service, the
business had the following accounts: Service revenue, Php.26,900; Prepaid
Rent Income, Php.9,600; Unearned income, Php.10,,200 and Accrued
income Php9,650. On the same date, Matsipag incurred the following
expenses: Wages expense, Php16, 300; Utilities expense, Php 4, 500.
Fundamental of Accountancy, Business and Management (For Senior High School Students) Under
the K to 12 Business Education Curriculum for Accountancy Business and Management(ABM)
Specialized Subject (Outcome –Based Education)by Rafael M. Lopez, JR.
(Haddock, Price, & Farina, 2012)
https://www.google.com/search?sxsrf=ALeKk01G8VoHj9W1ajyJEA7GMNuBx0v4XQ%3A1593085502
417&ei=Po70XvnVGNuB-QaQ1rYo&q=perpetual+inventory+system
DISCLAIMER
This Self-learning Module (SLM) was developed by DepEd – Division of
General Santos City with the primary objective of preparing for and
addressing the new normal. Contents of this module were based on DepEd’s
Most Essential Learning Competencies (MELC). This is a supplementary
material to be used by all learners in General Santos City in all public
schools beginning SY 2020-2021. The process of LR development was
observed in the production of this module. This is version 1.0. We highly
encourage feedback, comments, and recommendations.