16. Percy Company id engaged in a small export business. The company maintains limited records. Most of the company'stransactions are summarized in a cash journal; non-cash transactions are recorded by making memo entries. The following areabstracted from the company's records:Accounts receivable370,000 increaseNotes receivable200,000 decreaseAccounts payable150,000 decreaseNotes payable-trade200,000 increaseNotes payable-bankSales return (P50,000 was refunded)Sales discounts300,000 increase80,00020,000Purchase returns (P30,000 was refunded)80,000Purchase discount35,000Accounts written-off60,000Recovery of accounts written-off18,000Cash sales300,000Cash purchasesCash received from account customers250,0001,500,000Cash payment to trade creditors1,200,000а.What is the amount of gross sales?

Gross Sales:-It is the grand total sales obtained by adding and subtracting all related discounts…

16. Percy Company id engaged in a small export business. The company maintains limited records. Most of the company's transactions are summarized in a cash journal; non-cash transactions are recorded by making memo entries. The following are abstracted from the company's records: Accounts receivable 370,000 increase Notes receivable 200,000 decrease Accounts payable 150,000 decrease Notes payable-trade Notes payable-bank Sales return (P50,000 was refunded) Sales discounts 200,000 increase 300,000 increase 80,000 20,000 Purchase returns (P30,000 was refunded) 80,000 Purchase discount 35,000 Accounts written-off 60,000 Recovery of accounts written-off 18,000 Cash sales 300,000 Cash purchases 250,000 1,500,000 Cash received from account customers Cash payment to trade creditors 1,200,000 a. What is the amount of gross sales?

16. Percy Company id engaged in a small export business. The company maintains limited records. Most of the company's transactions are summarized in a cash journal; non-cash transactions are recorded by making memo entries. The following are abstracted from the company's records: Accounts receivable 370,000 increase Notes receivable 200,000 decrease Accounts payable 150,000 decrease Notes payable-trade Notes payable-bank Sales return (P50,000 was refunded) Sales discounts 200,000 increase 300,000 increase 80,000 20,000 Purchase returns (P30,000 was refunded) 80,000 Purchase discount 35,000 Accounts written-off 60,000 Recovery of accounts written-off 18,000 Cash sales 300,000 Cash purchases 250,000 1,500,000 Cash received from account customers Cash payment to trade creditors 1,200,000 a. What is the amount of gross sales?

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

Miller Corporation’s December 31, 2019, bank statement showed a $2,041.25 balance. On this date, Miller’s Cash account reflected a $150.90 overdraft. In reconciling these amounts, the following information is discovered: 1. Cash on hand for undeposited sales receipts, December 31, $131.25. 2. Customer NSF check returned with bank statement, $426.20. 3. Cash sales of $625.25 for the week ended December 18 were recorded on the books. The cashier reports this amount missing, and it was not deposited in the bank. 4. Note receivable of $2,400.00 and interest of $24 collected by the bank and not recorded on the books. 5. Deposit in transit December 31, $330.00. 6. A customer check for $195.40 in payment of its account was recorded on the books at $945.10. 7. Outstanding checks, $2,030.55. Includes a duplicate check of $63.85 to C. Brown, who notified Miller that the original was lost. Miller stopped payment on the original check and has already adjusted the cash account…
On August 1, 20X1, the accountant for Midwest Imports downloaded the company's July 31, 20X1, bank statement from the bank's website. The balance shown on the bank statement was $28,750. The July 31, 20X1, balance in the Cash account in the general ledger was $14,183. Ann Chen, the accountant for Midwest Imports, noted the following differences between the bank's records and the company's Cash account in the general ledger: a. An electronic funds transfer for $14,300 from Fabien Ricard, a customer located in France, was received by the bank on July 31. b. Check 1422 was correctly written and recorded for $1,200. The bank mistakenly paid the check for $1,240. c. The accounting records indicate that Check 1425 was issued for $69 to make a purchase of supplies. However, examination of the check online showed that the actual amount of the check was for $99. d. A deposit of $790 made after banking hours on July 31 did not appear on the July 31 bank statement. e. The following checks were…
The following data were accumulated for use in reconciling the bank account of Creative Design Co. for August 20Y6: Cash balance according to the company's records at August 31, $18,670. Cash balance according to the bank statement at August 31, $19,920. Checks outstanding, $3,790. Deposit in transit not recorded by bank, $3,040. A check for $170 in payment of an account was erroneously recorded in the check register as $710. Bank debit memo for service charges, $40. Journalize the entries that should be made by the company that (a) increase cash and (b) decrease cash. If an amount box does not require an entry, leave it blank. DateAccount Debit Credit a. 20Y6 August 31 Cash Accounts Payable b. August 31 Miscellaneous Expense Cash
VKS Company has the following selected accounts with unadjusted balances:· Cash on petty cash fund (including unreplenished expenses with supporting receipts of P12,000)- P75,000· Cash in bank (net of P21,000 account with BPI which has a credit balance due to overdrawn checks)- P245,000· Checks issued (post-dated as of year-end)- P155,000· Checks prepared, recorded but was not delivered to vendor- P120,000 Assuming no other cash items are on hand nor pending clearing and that the post-dated check was not deposit until it was ready for credit with the bank, how much should be included as cash and cash equivalent in the statement of financial position to be presented as of year end?
The following information pertains to Moon designing Company. Cash balance per bank, July 31, $8,000. July bank service charge not recorded by the depositor $37. Cash balance per books, July 31, $8,021. Deposits in transit, July 31, $1,500. Bank collected $900 note for Moon in July, plus interest $36, less fee $20. The collection has not been recorded by Moon, and no interest has been accrued. Outstanding checks, July 31, $600. Required Prepare a bank reconciliation at July 31. Journalize the adjusting entries at July 31 on the books of Moon designing Company.
The bank statement for Jeffrey Co. indicates a balance of $8,785 on October 31. After the journals for October had been posted, the cash account had a balance of $8,998. a. Cash sales of $945 had been erroneously recorded in the cash receipts journal as $495. b. Deposits in transit not recorded by bank, $778. c. Bank debit memo for service charges, $40. d. Bank credit memo for note collected by bank, $23,985 plus $885 interest. e. Bank debit memo for $756 NSF (not sufficient funds) check from Calin Sams, a customer. f. Checks outstanding, $1,860. Record the appropriate journal entries that would be necessary for Jeffrey Co. Record the entry that increases cash first. If an amount box does not require an entry, leave it blank.
Required information [The following information applies to the questions displayed below.] The following information is available to reconcile Branch Company's book balance of cash with its bank statement cash balance as of July 31. a. On July 31, the company's Cash account has a $25,672 debit balance, but its July bank statement shows a $27,829 cash balance. b. Check No. 3031 for $1,430, Check No. 3065 for $491, and Check No. 3069 for $2,198 are outstanding checks as of July 31. c. Check No. 3056 for July rent expense was correctly written and drawn for $1,240 but was erroneously entered in the accounting records as $1,230. d. The July bank statement shows the bank collected $10,000 cash on a note for Branch. Branch had not recorded this event before receiving the statement. e. The bank statement shows an $805 NSF check. The check had been received from a customer, Evan Shaw. Branch has not yet recorded this check as NSF. f. The July statement shows a $15 bank service charge. It has…
9. Yeontan Company is engaged in a small export business. The company maintain limited records. Most of the company’s transactions are summarized in a cash journal; non cash transactions are recorded by making memo entries. The following are abstracted from the company’s records:· Accounts receivable- P350,000 increase· Accounts payable- P200,000 decrease· Notes payable (Trade)- P150,000 decrease· Sales returns (50,000 was refunded)- P100,000· Sales discounts- P10,000· Purchase return (30,000 was refunded)- P80,000· Purchase discount- P15,000· Accounts written off- P60,000· Cash sales- P350,000· Cash purchases- P150,000· Cash received from account customers- P1,800,000· Cash payment to trade creditors- P1,300,000What is the amount of gross purchase? CHOICES: P1,015,000 P1,195,000 P1,165,000 P1,315,000
Egad Company provided the following information for October and November: Checks and charges recorded by Bank in November Including a November service charge of P8,000 and And NSF check of P40,000 1,100,000 Service Charge made by bank in October and recorded by Depositor in November 4,000 Total credits to cash in all journals during November 1,240,000 Customer NSF check returned in October and redeposited In November (no entry made by depositor in either October Or November 80,000 Outstanding checks on October 31 that cleared in November 560,000 1. How much are the checks paid by bank in November? 2. What is the amount of outstanding checks on November 30?
Mc Graw Hill Nolan Company's cash account shows a $24,659 debit balance and its bank statement shows $23,918 on deposit at the close of business on June 30. a. Outstanding checks as of June 30 total $2,619. b. The June 30 bank statement lists $22 in bank service charges; the company has not yet recorded the cost of these services. c. In reviewing the bank statement, a $80 check written by the company was mistakenly recorded in the company's books as $89. d. June 30 cash receipts of $3,373 were placed in the bank's night depository after banking hours and were not recorded on the June 30 bank statement. e. The bank statement included a $26 credit for interest earned on the company's cash in the bank. The company has not yet recorded interest earned. Prepare a bank reconciliation using the above information. Bank statement balance. Add: Deduct: Adjusted bank balance NOLAN COMPANY Bank Reconciliation June 30 $ 0 0 Book balance Add: Deduct: 0 0 Adjusted book balance $ 0 0 0 0
Yeontan Company is engaged in a small export business. The company maintain limited records. Most of the company’s transactions are summarized in a cash journal; non cash transactions are recorded by making memo entries. The following are abstracted from the company’s records:· Accounts receivable- P350,000 increase· Accounts payable- P200,000 decrease· Notes payable (Trade)- P150,000 decrease· Sales returns (50,000 was refunded)- P100,000· Sales discounts- P10,000· Purchase return (30,000 was refunded)- P80,000· Purchase discount- P15,000· Accounts written off- P60,000· Cash sales- P350,000· Cash purchases- P150,000· Cash received from account customers- P1,800,000· Cash payment to trade creditors- P1,300,000What is the amount of gross purchase?
Ryan Company deposits all cash receipts on the day they are received and makes all cash payments by check. Ryan's June bank statement shows a $29,361 balance in the bank. Ryan's comparison of the bank statement to its cash account revealed the following: Deposit in transit Outstanding checks Multiple Choice Additionally, a $49 check written and recorded by the company was incorrectly recorded by the bank as a $94 deduction. The adjusted cash balance per the bank records should be: O O $31,580 $31,535 $34,487 $31,625 3,650 1,431 $24.325 H Seved O