SEC Number CN201602502

File Number

TURUMBA TRAINING CENTER INC.

(Profit Organization)
(Company’s Full Name)

178 C Hi-way Brgy. Gonzales Pakil, Laguna

(Company’s Address)

(Telephone Number)

December 31
(Calendar Year Ending)

Annual Audited Financial Statement

Form Type

Amendment Designation (If applicable)

December 31, 2018

Period Ended Date

(Secondary License Type and File Number)

GOLDEN VINE RESORT AND RECREATION CORPORATION

(A Stock, Profit Organization)

FINANCIAL STATEMENTS
DECEMBER 31, 2018
 JoeyD. Abulencia
Certified Public Accountant
Rizal Street Pob 1. Infanta,Quezon
Mobile #: (042)535-4357

Report of an Independent Public Accountant

The Board of Trustees and Members

Turumba Training Center Inc.
178 C Hi-way Brgy. Gonzales Pakil, Laguna

I have audited the financial statements Turumba Training Center Inc. for the fiscal year ended December 31, 2018 on which
I have rendered the attached report dated September 30, 2019.

In compliance with Revenue Regulation V-20, I am stating the following:

1. The taxes paid and accrued by the above Company for the fiscal year ended December 31, 2018 are shown in the
schedule of taxes and licenses.

2. I am not related by consanguinity or affinity to the president, manage or principal members of the company.

JOEY D. ABULENCIA
CPA Certificate No. 70652
BOA Accreditation No. 6950
Valid until April10, 2017 to April 09, 2020
BIR Accreditation No. 09-005897-001-2017
April 06, 2017 Valid until April05, 2020
Tax Identification No. 903-034-011-000
PTR No. 5564788 January 08, 2019 Infanta, Quezon

September 30, 2019

 JoeyD. Abulencia
Independent Auditor’s Report Certified Public Accountant
Rizal Street Pob 1. Infanta,Quezon
Mobile #: (042)535-4357
The Board of Trustees and Members
Turumba Training Center Inc.
178 C Hi-way Brgy. Gonzales Pakil, Laguna

Opinion

I have audited the accompanying financial statements of Turumba Training Center Inc. (the Company)which comprise the
statement of financial position as of December 31, 2018, statement of receipts and expenses, statement of changes in fund
balance and statement of cash flows for the year then ended, and notes to the financial statements, including a summary of
significant accounting policies.

In my opinion, the accompanying financial statements present fairly, in all material respects, the financial position of the
Company as of December 31, 2018, and its financial performance and its cash flows for the year then ended in accordance
with Philippine Financial Reporting Standards for Small and Medium Entities (SME’s).

Basis for Opinion

I conducted my audits in accordance with Philippine Standards on Auditing (PSAs). My responsibilities under those
standards are further described in the Auditor’s Responsibilities for the Audit of the Financial Statements section of my
report. I am independent of the Company in accordance with ethical requirements that are relevant to my audit of the
financial statements in the Philippines, and I have fulfilled my other ethical responsibilities in accordance with these
requirements. I believe that the audit evidence I have obtained is sufficient and appropriate to provide a basis for my
opinion.

Responsibilities of Management and Those Charged with Governance for the Financial Statements.

Management is responsible for the preparation and fair presentation of the financial statements in accordance with Philippine
Financial Reporting Standards for Small and Medium Entities (SME’s), and for such internal control as management
determines is necessary to enable the preparation of financial statements that are free from material misstatement, whether
due to fraud or error.

In preparing the financial statements, management is responsible for assessing the Company’s ability to continue as a going
concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless
management either intends to liquidate the Company or to cease operations, or has no realistic alternative but to do so.

Auditor’s Responsibilities for the Audit of the Financial Statements

My objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material
misstatement, whether due to fraud or error, and to issue an auditor’s report that includes my opinion. Reasonable assurance
is a high level of assurance, but is not a guarantee that an audit conducted in accordance with PSA’s will always detect a
material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually
or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of
these financial statements.

Report on the Supplementary Information Required Under Revenue Regulations 15-2010

My audit was conducted for the purpose of forming an opinion on the basic financial statements taken as a whole. The
supplementary information on taxes, duties and license fees in Notes11 and 12 to the financial statements is presented for
purposes of filing with the Bureau of Internal Revenue and is not a required part of the basic financial statements. Such
information is the responsibility of management. The information has been subjected to the auditing procedures applied in
my audit of the basic financial statements. In my opinion, the information is fairly stated in all material respects in relation
to the basic financial statements taken as whole.

JOEY D. ABULENCIA
CPA Certificate No. 70652
BOA Accreditation No. 6950
Valid until April10, 2017 to April 09, 2020
BIR Accreditation No. 09-005897-001-2017
April 06, 2017 Valid until April05, 2020
Tax Identification No. 903-034-011-000
PTR No. 5564788 January 08, 2019 Infanta, Quezon

September 30, 2019

TURUMBA TRAINING CENTER INC.
178 C Hi-way Brgy. Gonzales Pakil, Laguna
Tax Identification Number 009-222-273

STATEMENT OF FINANCIAL POSITION

As of December 31, 2018
(Amounts in Philippines pesos)

ASSETS 2018 2017 2016

CURRENT ASSETS

Cash & Cash equivalents 832,283.00 652,345.00 635,129.00

Account Receivable 54,792.00 45,660.00 26,850.00

Unused Supplies 2,750.00 23,920.00 12,521.00

Total Current Assets Php 889,825.00 Php 721,925.00 Php 674,500.00

NON-CURRENT ASSETS

Plant Property & Equipment

Welding Machine 249,000.00 249,000.00 249,000.00

Accumulated Depreciation-Welding
Machine (99,600.00) (49,800.00)

Net Book Value 149,400.00 199,200.00 249,000.00

Furniture & Fixtures Equipment 60,000.00 60,000.00 60,000.00

Accumulated Depreciation-FFE (24,000.00) (12,000.00)

Net Book Value 36,000.00 48,000.00 60,000.00

Computers 75,000.00 75,000.00 75,000.00

Accumulated Depreciation-Computers (30,000.00) (15,000.00)

Net Book Value 45,000.00 60,000.00 75,000.00

NET BOOK VALUE 230,400.00 307,200.00 384,000.00

Total Property & Equipment 230,400.00 307,200.00 384,000.00

Total ASSETS Php 1,120,225.00 Php 1,029,125.00 Php 1,058,500.00

LIABILITIES AND EQUITY

LIABILITIES

Accounts Payable 32,600.00 60,300.00 108,000.00

Total Liabilities 32,600.00 60,300.00 108,000.00

EQUITY

Capital Stock Common 968,825.00 950,500.00 1,000,000.00

Retained Earnings 118,800.00 18,325.00 (49,500.00)

Total 1,087,625.00 968,825.00 950,500.00

Additional Investment
Less Drawings:

Capital Stock Equity end 1,087,625.00 968,825.00 950,500.00

TOTAL LIABILITIES

AND OWNER'S EQUITY Php 1,120,225.00 Php 1,029,125.00 Php 1,058,500.00

- - -
TURUMBA TRAINING CENTER INC.
178 C Hi-way Brgy. Gonzales Pakil, Laguna
Tax Identification Number 009-222-273

STATEMENTS OF CHANGES IN
EQUITY

(Amounts are in Philippine Peso)

Year Ended
December 31
Notes 2018 2017 2016

Capital Stock balance, beginning 1,000,000.00

968,825.00 Php 950,500.00 Php
Retained Earnings (49,500.00)
118,800.00 18,325.00
Total 950,500.00
1,087,625.00 968,825.00
Capital Stock balance, end 950,500.00
1,087,625.00 Php 968,825.00 Php

See Notes to Financial Statements.

TURUMBA TRAINING CENTER INC.
178 C Hi-way Brgy. Gonzales Pakil, Laguna
Tax Identification Number 009-222-273
CASH FLOW STATEMENT
For the Year Ended December 31, 2018
(Amounts in Philippine Pesos)
2018 2017 2016

CASH FLOWS FROM OPERATING ACTIVITIES

Net Surplus Php 118,800.00 Php 18,325.00 Php (49,500.00)

Adjustment to reconcile net loss of net cash

provided by (used in) operating activities

Depreciation 76,800.00 76,800.00 -

Change in assets and liabilities
Decrease (Increase) in:

Accounts Receivable (9,132.00) (18,810.00) (26,850.00)

Unused Supplies 21,170.00 (11,399.00) (12,521.00)

Increase (Decrease) in:

Accounts Payable (27,700.00) (47,700.00) 108,000.00

Net cash provided by (used in) operating
activities Php 179,938.00 Php 17,216.00 Php 19,129.00
CASH FLOWS FROM INVESTING ACTIVITIES
Additional in investment

Decrease (Increase) property & equipment (384,000.00)

Net cash provided by (used in) investing

activities Php - Php - Php (384,000.00)
CASH FLOWS FROM FINANCING ACTIVITIES
Changes of:

Owner's Equities 1,000,000.00

Drawings - -
Net cash provided by (used in) financing
activities Php - Php - Php 1,000,000.00

NET INCREASE (DECREASE) IN CASH - - 179,938.00 17,216.00 635,129.00

ADD: CASH AND CASH EQUIVALENTS, Beginning 652,345.00 635,129.00 -

 CASH AND CASH EQUIVALENTS, Ending Php 832,283.00 Php 652,345.00 Php 635,129.00

TURUMBA TRAINING CENTER INCORPORATION

(A Capital Stock, Profit Organization)
Tax Identification No: 009-222-273-000
NOTES TO FINANCIAL STATEMENTS

1. General Information

Turumba Training Center Incorporation.(“ the Company”) is a capital stock profit corporation which is duly registered with
the Securities and Exchange Commission on December04, 2009 under registration No. CN201602502. It was registered
with Bureau of Internal Revenue under Tax Identification Number (TIN) 009-222-273-000.

The Company was primarily organized (1) to uplift the living conditions of members by assisting them in the establishments
of Resort facilities, services and enterprises (2) to encourage the members in the effective utilization of local resources in
recreational activities and thereby improve the living encourage the members in the effective utilization of local resources
in parties, wedding, team building activities and thereby improve the living condition of the resorts; (3) to assist and support
the members in the promotion of their business; (4) to develop and harness the people’s participation in every economic
activity toward the development of the resorts through self-help and self-reliance; (5) to offer and provide the members
including their families, job opportunities to participate actively in any program relative to the promotion and
encouragement of other business entrepreneur..

The registered address of the Organization is at 178 C Hi-way Brgy. Gonzales Pakil, Laguna

The accompanying financial statements were authorized for issue by the Stockholders on September 30, 2019. The Board
of Directors is empowered to make revisions even after the date of issue.

2.Basis of Preparation

The principal accounting policies applied in the preparation of these financial statements are set out below. These policies
have been consistently applied to all the years presented unless otherwise stated.
The accompanying financial statements have been prepared on a going concern basis, which contemplate the realization of
assets and settlement of liabilities in the normal course of business.

Statement of Compliance
The financial statements of the company have been prepared in accordance with the Philippine Financial Reporting
Standards for Small and Medium-sized Entities (PFRS for SMEs).

Basis of Measurement
The accompanying financial statements have been prepared under the historical cost basis.

Functional and Presentation Currency

These financial statements are presented in Philippine peso which is the Company's functional currency. All financial
information presented in Peso has been rounded off to the nearest peso unless otherwise stated.
Use of Estimates and Judgments
The preparation of financial statements in conformity with PFRS for SMEs requires management to make judgments,
estimates and assumptions that affect the application of accounting policies and the reported amounts of assets, liabilities,
income and expenses. Actual results may differ from these estimates.

Estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are
recognized in the period in which the estimates are revised and in any future periods affected.

Information about critical judgments in applying accounting policies that have the most significant effect on the amounts
recognized in the financial statements is as follows:

2.1Summary of Significant Accounting Policies

Cash and cash equivalents

Cash includes cash on hand and in banks.

Accrued expenses
Accrued expenses are expenses already incurred but not yet paid as at the balance sheet date.

Trustees’ equity
Capital of the Association was contributed by the incorporators and trustees’ who are also members of the Association.

Fund balance
Fund balance is the contribution of members to the Company and increases and decreases by the results of operations for
the year.

Receipts
Receipts come from membership fee,grants and donation from private individual and government and non government
institutions.

Disbursements
Costs and expenses are recognized in the statement of receipts and disbursements upon utilization of the service or at the
date they are incurred.

Related Parties
Parties are considered related if one party has control, joint control, and significant influence over the other party in
making financial and operating decisions. Individuals, associates or companies that directly or indirectly control or are
controlled by or are under common control are also considered related parties.

Events after Balance Sheet Date

Post-year-end events that provide additional information about the Company’s position at balance sheet date (adjusting
events) are reflected in the financial statements. Post-year-end events that are not adjusting events are disclosed in the notes
to the financial statements when material.
Subsequent Events
Adjusting events subsequent to the date of the financial statements and the date of completion of the audit are reflected in
the financial statements. Non adjusting events are disclosed in the notes to financial statements when material.
2.2Financial Assets

Cash
Cash includes cash on hand and in banks. Cash equivalents are short-term, highly liquid investments that are readily convertible
to known amounts of cash and with original maturities of three months or less and that are subject to an insignificant risk of
change in value.

Account Receivables
Account receivable are recognized initially at the transaction price. They are subsequently measured at amortized cost using
effective interest method less provision for impairment. A provision for impairment of account receivables is established when
there is objective evidence that the company will not be able to collect all amounts due according to the original terms of the
receivables.

Inventories
The inventories are valued at cost using the first-in first-out method (FIFO). The physical count of these inventories was not
observed at year end as the physical count was made without the presence of the auditor. Management therefore, take full
responsibility as to the correctness of the merchandise inventories.

De-recognition of Financial Assets

A financial asset (or, where applicable a part of financial asset or part of a group of similar financial assets) is derecognized
where;
*the right to receive cash flows from the asset have expired;
*the Company retains the right to receive cash flows from the asset , but has assumed an obligation to pay them in full without
material delay to a third party under a pass-through arrangement; or
*the Company has transferred its rights to receive cash flow from the assets and either (a) has transferred substantially all the
risks and rewards of the asset, or (b) has neither transferred no retained substantially all the risks and rewards of the asset, but
has transferred control of the asset.

Where the Company has transferred its rights to receive cash flows from the assets and either (a) has transferred substantially
all the risks and rewards of the asset, or (b) has neither transferred control of the asset.

Continuing involvement that takes the form of a guarantee over the transferred asset is measured at the lower of original carrying
amount of the asset and the maximum amount of consideration that the company could be repaid.

2.3Property and Equipment

Property and equipment are valued at cost less accumulated depreciation and any impairment in value. Additions,
betterments, and major replacements are capitalized while minor repairs and maintenance are charged to expense as
incurred. Initially an item of property and equipment is measured at cost which comprise its purchase price and any directly
attributable costs of bringing the asset to its working condition. Subsequent expenditures are added to the carrying amount
of the asset when it is probable that future economic benefits, in excess of the original assessed standard of performance
will flow to the Company. All other subsequent expenditures are recognized as expenses in the period in which they are
incurred.

Provisions for depreciation are computed using the straight-line method based on the estimated useful lives as discussed
below:

Property and Equipment Estimated Useful Life in Years

Building & Improvements 20 years

Factory Equipment 10 years

2.4Financial Liabilities
Financial liabilities include accounts payables.

Accounts Payables
Accounts payables and are recognized initially at the transaction price and subsequently measured at amortized using
effective interest method cost less subsequent payments. Other payables include accruals such as utility expenses. Accruals
are liabilities to pay for goods or services that have been receive or supplied but have not been paid, invoiced or formally
agreed with the supplier, including amounts if any due to employees. It is necessary to estimate the amount or timing of
accruals, however, the uncertainty is generally much less than for provisions.

Borrowings
Borrowings are recognized initially at the transaction price (that is, the present value of cash payable to the bank, including
transaction costs). Borrowings are subsequently stated at amortized cost. Interest expense is recognized on the basis of the
effective interest method and is included in finance costs. Borrowings are classified as current liabilities unless the Company
has unconditional right to defer settlement of the liability for at least 12 months after the reporting date.

Derecognition of Financial Liability

A financial liability is derecognized when the obligation under the liability is discharged, cancelled or expired. Where an
existing financial liability is replaced by another from the same lender on substantially different terms, or the terms of an
existing liability are substantially modified, such an exchange or modification is treated as derecognition of the original
liability and the unconditional of a new liability, and the difference in the respective carrying amounts is recognized in profit
or loss.

Income taxes
The Company is exempt from income tax pursuant to Section 30 (e) of the National Internal Revenue Code of 1997 which
provides that:

Non-stock, non-profit corporation or association organized and operated exclusively for religious, charitable, scientific,
athletic or cultural purposes, or for the rehabilitation or veterans, no part of its net income or assets shall belong to or inures
to the benefit of any member, organizer, officer, or any specific person.
The exemption from the payment of tax does not apply to income derived “from any of their properties, real or personal or
from any of their activities conducted for profit regardless of the disposition mad of such income.”

2.5Fund Balances
Fund Balances initial members’ contribution and accumulated current and prior period results of operations reported in the
statement of comprehensive income.

2.6 Recognition

Revenue
Revenue comprises the fair value of the consideration received or receivable for the sale of goods in the ordinary course of
the Company’s activities. Revenue is shown net of value-added tax, returns, rebates and discounts.

Cost, distribution and administrative expenses are recognized in the statement of income upon utilization of the services or
in the date they are incurred.

Expenses
Expenses are decreases in economic benefits during the accounting period in the form of outflows or decrease of assets or
incurrence of liabilities that result in decrease in fund balances. Expenses are generally recognized when the services are
used of the expenses arises while interest expense is accrued in the appropriate period.

2.7Employee Benefits

Employees Benefits in General

Pension benefits are provided to employees through contribution to Social Security Systems. The entity is also committed
and actually complying with the provisions of law on benefits that should be accorded to the employees.

Termination Benefits
Termination benefits are payable when employment is terminated by the Company before the normal retirement date, or
whenever an employee accepts voluntary redundancy in exchange for these benefits. The company recognizes termination
benefits when it is demonstrably committed to either: (a) terminating the employment of current employees according to a
detailed formal plan without possibility of withdrawal; or (b) providing termination benefits as a result of an offer made to
encourage voluntary redundancy. Benefits falling due more than 12 months after the statement of financial position date
are discounted at present value.

Compliance with pertinent law on Post Employment Benefits

As far as the mandate of RA 7641 regarding other post employment benefits are concerned, the Company cannot readily
comply in the absence of an Internal Rules and Regulations promulgated by the Department of Labor and Employment.

Classification and Definition of Post Employment Benefits

a. The Company shall in the meantime and until an Internal Rules and Regulations regarding Post Employment
Benefits are promulgated, shall give the mandated ½ months for every year of service provided all the requisites
provided under RA 7641 are complied with.
b. In so far as the Retirement Benefits/Post Employment Benefits are concerned, the same is considered to be
unfunded. The entity retains the obligation for the payment of retirement benefits without the establishment of a
separate fund.

Compliance with new Accounting Standards

The standard requires the use of the projected unit credit method in determining the retirement benefit expense which
resulted in change in the manners or computing the benefit relating to past service cost and actuarial gains and losses. It
requires a company to determine the present value of defined benefit obligation and the fair value of plan assets with
sufficient regularity that the amounts recognized in the financial statements do not differ materially from the amounts that
would be determined at the statement of financial position dates.

The Company has not adopted in its accounting policy the standards in providing for estimated retirement benefit to qualified
employees under RA 7641 from using mathematical calculations to projected unit credit method by engaging the services
of qualified actuary, in performing an actuarial valuation of the Company’s retirement obligations.

2.8Lease
Leases where the lessor retains substantially all the risks and benefits of ownership of the assets are classified as operating
leases. Operating lease payments are recognized as expense in the statement of comprehensive income on a straight line
basis over the term of lease.

A lease is classified as finance lease if it transfers substantially all the risks and rewards incidental to ownership.

A lease is classified as operating lease if it does not transfer substantially all the risks and incidental to ownership.

2.9Related party transactions and relationships

Parties are considered related if one party has the ability to control the other party or exercise significant influence over the
other party in making financial and operating decisions. Individuals, associations or companies that directly or indirectly
control or are controlled by or are under common control of the Institute are also considered related parties. In considering
each possible related party relationship, and not merely the legal form.

Transactions between related parties are accounted for at arm’s length prices or on terms similar to those offered to non-
related parties entities in an economically comparable market. The Company’s related party transaction includes key
management personnel compensation.

2.10Provisions
Provisions where recognized when present obligations will probably lead to outflow of economic resources and they can
estimated reliably even if the timing or amount of the outflow may still be uncertain. A present obligation arises from the
presence of a legal or constructive commitment that has resulted from past events.
Provisions are measured at the estimated expenditures required to settle the present obligation, based on the most reliable
evidence at the balance sheet date, including the risks and uncertainties associated with the present obligation. Any
reimbursement expected to be received in the course of settlement of the present obligation is recognized, if virtually certain
as a separate asset, not exceeding the amount of the related provision. Where there are a number of similar obligations the
likelihood that an outflow will be required in settlement is determined by considering the class of the obligations as a whole.
In addition, long-term provisions are discounted to their present values, where time value of money is material.

Provisions are reviewed at each balance sheet and adjusted to reflect the current best estimate.

In those cases where the possible outflow of economic resource as a result of present obligations is considered improbable
or remote, or the amount to be provided for cannot be measured reliably, no liability is recognized in the financial statements.

Based on management’s judgment, no provisions should be accrued in the Company’s financial statements as of balance
sheet date.

2.11Contingent assets and contingent liabilities

Contingent liabilities are not recognized in the financial statements. These are disclosed unless possibility of an outflow of
resources embodying economic benefit is remote.

Contingent assets are not recognized in the financial statements but disclosed when an inflow of economic benefits is
probable.

2.12Events after the balance sheet date

Post year-end events that provide additional information about the Company’s position at balance sheet date (adjusting
events) are reflected in the financial statements, if any. Post year-end events that are not adjusting events are disclosed in
the notes to financial statements when material.

3. MANAGEMENT’S SIGNIFICANT ACCOUNTING JUDGEMENT AND ESTIMATES

3.1. Judgments
The preparation of the Company’s financial statements in conformity with Financial Reporting Framework (in reference to
the Generally Accepted Accounting Principles of the Philippines) requires management to make estimates and assumptions
that affect the amounts reported in the Company’s financial statements and accompanying notes. The estimates and
assumptions used in the Company’s financial statements are based upon management’s evaluation of relevant facts and
circumstances as of the date of the Company’s financial statements. Actual results could differ from such estimates,
judgments and estimates are continually evaluated and are based on historical experience and other factors, including
expectations of future events that are believed to be reasonable under the circumstances.

3.2 Estimates
In the applications of the Company’s accounting policies, management is required to make judgments, estimates and
assumptions about the carrying amounts of assets and liabilities that are not readily apparent from other sources. The
estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant.
Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are
recognized in the period in which the estimate is revised if the revision affects only that period of the revision and future
periods if the revision affects both current and future periods.

4. Cash and Cash Equivalents– This account consists of:

Cash on Hand & Cash in Bank

 This account consists of the
following:

2018 2017 2016

Cash on Hand 557,725.69 282,459.25 419,091.00

Petty Cash
Fund 10,000.00 10,000.00 10,000.00

Cash in Bank 322,099.31 429,465.75 245,409.00

Total Cash 889,825.00 721,925.00 674,500.00

This account is comprised of cash on hand and cash in bank deposits maintained with local banks.
Cash in banks earns interest at the respective bank deposit rates.

5. Account Receivable– This account consists of:

2018 2017 2016

TRADE AND OTHER
RECEIVABLES
Account Receivable
48,891.97 41,384.61 23,429.69
Other Receivables
5,900.03 4,275.39 3,420.31
TOTAL TRADE AND OTHER
RECEIVABLES 54,792.00 45,660.00 26,850.00

6. Unused Supplies – This account consists of:

2018 2017 2016

Unused
Supplies 2,750.00 23,920.00 12,521.00
TotalAccount Payable
2,750.00 23,920.00 12,521.00

7. Property & Equipment - This account consists of:

Welding Machine 249,000.00 249,000.00 249,000.00

 Accumulated Depreciation-Welding
Machine (99,600.00) (49,800.00)

Net Book Value 149,400.00 199,200.00 249,000.00

Furniture & Fixtures Equipment 60,000.00 60,000.00 60,000.00

Accumulated Depreciation-FFE (24,000.00) (12,000.00)

Net Book Value 36,000.00 48,000.00 60,000.00

Computers 75,000.00 75,000.00 75,000.00

Accumulated Depreciation-Computers (30,000.00) (15,000.00)

Net Book Value 45,000.00 60,000.00 75,000.00

NET BOOK VALUE 230,400.00 307,200.00 384,000.00

Total Property & Equipment 230,400.00 307,200.00 384,000.00

8. Account Payable This account consists of:

2018 2017 2016

Account Payable 32,600.00 60,300.00 108,000.00

Total Payables
32,600.00 60,300.00 108,000.00

9. Receipts

This account consists of:

2018 2017 2016

Gross Receipts
Php 500,000.00 Php 500,000.00 Php 142,500.00
Service Income

10. Cost of Services

This account consists of:

2018 2017 2016
 Less Cost of Services

Salaries and Wages 112,400.00 62,400.00

Depreciation 76,800.00 76,800.00

Total
189,200.00 139,200.00

11. Administrative Expense

This account consists of:

2018 2017 2016
Comminication, Power, Light & water
192,000.00 192,000.00 192,000.00
Total
192,000.00 192,000.00 192,000.00

12. Income taxes

As a stock, Profit Corporation, the Association is 30% from the payment of income tax under VAT. Revenues,
expenses and assets are recognized net of the amount of VAT, except:  where the tax incurred on a purchase of assets or
services is not recoverable from the taxation authority, in which case the tax is recognized as part of the cost of acquisition
of the asset or as part of the expense item as applicable; and  receivables and payables that are stated with the amount of
tax included. The net amount of tax recoverable from, or payable to, the taxation authority is included as part of “Prepaid
expenses and other current assets” or “Income and other taxes payable” accounts in the consolidated statements of financial
position. Non-cash Distribution to Equity Holders of the Parent Company and Assets Held for Sale The Group classifies
noncurrent assets, or disposal groups comprising assets and liabilities as held for sale or distribution, if their carrying
amounts will be recovered primarily through sale or distribution rather than through continuing use. The assets or disposal
groups are generally measured at the lower of their carrying amount and fair value less costs to sell or distribute, except for
some assets which are covered by other standards. Any impairment loss on a disposal group is allocated first to goodwill,
and then to the remaining assets and liabilities on pro rata basis, except that no loss is allocated to inventories, financial
assets, deferred tax assets, employee benefit assets, investment property or biological assets, which continue to be measured
in accordance with the Group’s accounting policies. Impairment losses on initial classification as held for sale or distribution
and subsequent gains and losses on remeasurement are recognized in the consolidated statements of income. Gains are not
recognized in excess of any cumulative impairment losses.

13. SUPPLEMENTARY INFORMATION REQUIRED BY THE BUREAU OF INTERNAL REVENUE

Presented below is the supplementary information which is required by the Bureau of Internal Revenue (BIR) under its
existing revenue regulations to be disclosed as part of the notes to financial statements. This supplementary information
is not a required disclosure under PFRS for SME.

Requirements under Revenue Regulations (RR) 15-2010

The information for year 2016 as required by the Regulation is presented below:

(a) Output and Input Value Added Tax (VAT)

The Associationis VAT-exempt entity since it is a non-stock non-profit Association.

(b) Percentage tax

 The Association is also not subject to percentage tax since it is a non-stock non-profit Association.

(c) Taxes and licenses

The details of taxes and licenses account is as follows:

(d) Withholding taxes

There were no transactions subjected to withholding taxes

(e) Tax assessments

The Association has no outstanding tax assessment.

(f) Tax cases

The Association has no outstanding tax case.

Requirements under Revenue Regulations (RR) 19-2011

The Association has no taxable revenue since it is a non-stock non-profit Association

 STATEMENT OF MANAGEMENT’S RESPONSIBILITY
FOR ANNUAL INCOME TAX RETURN

The Management of TURUMBA TRAINING CENTER INC. is responsible for all information and representations
contained in the Annual Income Tax Return for the year ended December 31, 2018. Management is likewise responsible
for all information and representations contained in the financial statements accompanying the Annual Income Tax Return
covering the same reporting period. Furthermore, the Management is responsible for all information and representations
contained in all the other tax returns filed for the reporting period, including, but not limited, to the value added tax and/or
percentage tax returns, withholding tax returns, documentary stamp tax returns, and any and all other tax returns.

In this regard, the Management affirms that the attached audited financial statements for the year ended December 31, 2018
and the accompanying Annual Income Tax Return are in accordance with the books and records of TURUMBA
TRAINING CENTER INC. complete and correct in all material respects. Management likewise affirms that:

 (a) The Annual Income Tax Return has been prepared in accordance with the provisions of the National Internal
Revenue Code, as amended, and pertinent tax regulations and other issuances of the Department of Finance and the
Bureau of Internal Revenue;

 (b) Any disparity of figures in the submitted reports arising from the preparation of financial statements pursuant
to financial accounting standards and the preparation of the income tax return pursuant to tax accounting rules has
been reported as reconciling items and maintained in the company’s books and records in accordance with the
requirements of Revenue Regulations No. 8-007 and other relevant issuances;

• (c) The TURUMBA TRAINING CENTER INC. has filed all applicable tax returns, reports and statements
required to be filed under Philippine tax laws for the reporting period, and all taxes and other impositions shown
thereon to be due and payable have been paid for the reporting period, except those contested in good faith.

_____________________________
NAME
President

_____________________________
NAME
Treasurer
 STATEMENT OF MANAGEMENT RESPONSIBILITY
FOR FINANCIAL STATEMENTS

The management of TURUMBA TRAINING CENTER INC. is responsible for the preparation and fair presentation of
the financial statements including all schedules attached therein for the years ended December 31, 2018, in accordance with
the prescribed financial reporting framework indicated therein, and for such internal control as management determines is
necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud
or error.

In preparing the financial statements, management is responsible for assessing the Company’s ability to continue as a going
concern, disclosing, as applicable matters related to going concern and using the going concern basis of accounting unless
management either intends to liquidate the Company or to cease operations, or has no realistic alternative but to do so.

The Board of Directors (Trustees) is responsible for overseeing the Company’s financial reporting process.

The Board of Directors (Stockholders) reviews and approves the financial statements including the schedules attached
therein, and submits the same to the stockholders or members.

Joey D. Abulencia, the independent auditor appointed by the stockholders, has audited the financial statements of the
Company in accordance with the Philippine Standards on Auditing, and in its report to the stockholders or members, has
expressed its opinion on the fairness of presentation upon completion of such audit.

Signature:____________________
Printed Name
President

Signature:____________________
Printed Name
Treasurer

Signed this______day of _______