1. The accounts receiyable balance on the records of Luneta Company of January 1, 2020. Credit sales were recorded at P1,060.000 during the year ended December 31, 2020. The accounts receivable at year- end was P283,000. In going over the records, you found accounts reccivable of P38,000 were written off during the year as uncollectible. P245,000 on REQUIRED: How much cash was collected on credit sales during the year 2020 ? , The manager of the Pansol Company is planning for the qaurter ending March 31, 2020, and wants to know how much cash must be paid for merchandise purchases. The inventory of merchandise is to be decreased by P46,000 during the quarter. Sales have been estimated at P360,000. The cost of saies is equal to 30% of sales. Accounts payable is expected to increase by P14,000 during the quarter. REQUIRED: Hlow uch cash will be disbursed during the quarter for merchandise. ( Hint: Use T-accounts and assume a beginning and ending baiances for inventories and accounts payable). C. During the year, Banaue Company sold a machine that had an original cost of P386,000. machine amounted to P282,000. A loss of P32,000 was reported from the sale of the machine. At the date of the sale, accumulated depreciation on the REQUIRED: How much cash was received from the sale of the machine? (Hint: Compute first for the book value of the machine.) ". Same as Case C, but a gain of P32.000 instead was reported from the sale of the machine. REQUIRED: How much cash was received from the sale of the nachine
1. The accounts receiyable balance on the records of Luneta Company of January 1, 2020. Credit sales were recorded at P1,060.000 during the year ended December 31, 2020. The accounts receivable at year- end was P283,000. In going over the records, you found accounts reccivable of P38,000 were written off during the year as uncollectible. P245,000 on REQUIRED: How much cash was collected on credit sales during the year 2020 ? , The manager of the Pansol Company is planning for the qaurter ending March 31, 2020, and wants to know how much cash must be paid for merchandise purchases. The inventory of merchandise is to be decreased by P46,000 during the quarter. Sales have been estimated at P360,000. The cost of saies is equal to 30% of sales. Accounts payable is expected to increase by P14,000 during the quarter. REQUIRED: Hlow uch cash will be disbursed during the quarter for merchandise. ( Hint: Use T-accounts and assume a beginning and ending baiances for inventories and accounts payable). C. During the year, Banaue Company sold a machine that had an original cost of P386,000. machine amounted to P282,000. A loss of P32,000 was reported from the sale of the machine. At the date of the sale, accumulated depreciation on the REQUIRED: How much cash was received from the sale of the machine? (Hint: Compute first for the book value of the machine.) ". Same as Case C, but a gain of P32.000 instead was reported from the sale of the machine. REQUIRED: How much cash was received from the sale of the nachine
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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At the end of the accounting period, a financial statement is prepared by every company, then at that time while preparing the financial statement, the company determines among its total receivable amount how much portion of receivables is collected by the company during that accounting period.
Accounts Receivable
The word “account receivable” means the payment is yet to be made for the work that is already done. Generally, each and every business sells its goods and services either in cash or in credit. So, when the goods are sold on credit account receivable arise which means the company is going to get the payment from its customer to whom the goods are sold on credit. Usually, the credit period may be for a very short period of time and in some rare cases it takes a year.
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Transcribed Image Text:The accounts receivable balance on the records of
of P38,000 were written off during the year as uncollectible.
eud was P283,000. In going over the records, you found accounts reccivable
REQUIRED: How much cash was received from the sale of the machine?
during the year ended December 31, 2020. The accounts receivable at year-
REQUIRED: How much cash was collected on credit sales during the year.
Luneta Company of
January 1, 2020. Credit sales were recorded at P1,060.000
P245,000 on
durine p283.000. In going over the records, you found accounts reccivable
PEOUIRED: How much cash was collected on credit sales during the year
2020 ?
The manager of the Pansol Company is planning for the qaurter ending
Narch 31, 2020, and wants to know how much cash must be paid for
merchandise purchases. The inventory of merechandise is to be deereased by
P46,000 during the quarter. Sales have been estimated at P360,000. The cost
of saies is equal to 30% of sales. Accounts payable is expected to inerease by
P14,000 during the quarter.
REQUIRED: How uch cash will be disbursed during the quarter for
merchandise. ( Hint:
baiances for inventories and accounts payable).
Use T-accounts and assumne a beginning and ending
C. During the year, Banaue Company sold a machine that had an original cost
of P386,000.
machine amounted to P282,000. A loss of P32,000 was reported from the sale
of the machine.
At the date of the sale, accumulated depreciation on the
REQUIRED: How much cash was received from the sale of the machine?
(Hint: Compute first for the book value of the machine.)
". Same as Case C, but a gain of P32.000 instead was reported from the sale of
the machine.
*QUIRED: How much cash was received from the sale of the machine?
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