On December 31, 2020, what amount should be reported as cash under current assets?a. P4,500,000b. P5,500,000c. P3,500,000d. P6,500,0003. RDO Company reported a cash balance of P192,500 on December 31, 2020 which consistedof the following:Petty cash fund (Bills and coins P3,750 andpetty cash voucher for P1,250)Cash on hand, which includes a customer's post-dated check (dated January 15, 2021) of P2,500Cash in bank;P 5,00062,500PNB-TaclobanP87,500BPI-Tacloban(12,500)75,000Savings deposit-DBP-Tacloban, restricted for thepurchase and intended for plant expansion50,000REQUIRED:Compute the amount of Cash that should be reported in RDO Company balance sheet ate December 3.4. Allison Company maintains its bank account with First National Bank. For the month of August (endof its fiscal year) the following information could be seen from its records and the bank statementfrom First National Bank.Cash in Bank-First National BankAugust 1 Balance2 Deposits14 DepositsP16,490Checks paid by the bank and11,700electronic funds transfers4,000Aug. 2EFT P25024 Deposits31 Deposits6,50048805,200152801751018EFT 850203502320,400Demand Deposit-Allison CompanyDateChecks and EFT'sDepositsBalanceAug. 1P17,510P32017,1903P11,70028,890443028,4605.27028,19088027,31010250 EFT27,060154,00031,0602135030,7102420,40010,310256,50016,81030850 EFT15,960302,350*18,310120P2,350 represents interest collected120 Bank service charge3118,19013 Additional Information:Outstanding checks at the end of July were for P270, P430 and P320. No deposits were in transit at the endJuly.Questions:1. How much is the balance of the general ledger account cash in bank of Allison Company?2. How much is the bank statement balance as reported by the bank?3. How much is the deposits in transit at the end of Aug.?4. How much is the outstanding checks at the end of Aug.?5. Prepare a bank reconciliation for August/6. Prepare any journal entry that Allison should make as a result of the bank reconciliation. Whyare they necessary?7. What total amount of cash should be reported on the August 31, current year, balancesheet?Student Activity 3McMann, Inc. decided to establish a petty cash fund to help ensure internal controf over its small cashexpenditures. The following information is available for the month of April.1. On April 1, it established a petty cash fund in the amount of P200.002. Disbursements made by the petty cash custodian as of April 10 are as follows:Delivery charges paid on merchandise purchasedSupplies purchased and usedMiscellaneous expenseP6050303. The petty cash fund was replenished on April 10.4. The petty cash fund was increased by P100 because the existing fund is not enough.REQUIRED:Prepare the journal entries to record transactions related to the petty cash fund for the month of April.Student Activity 4Preparing a Bank Reconciliation and Related Journal EntriesThe bookkeeper at Jefferson Company has not reconciled the bank statement with the Cash account, saying,"I don't have time". You have been asked to prepare a reconciliation and review the procedure with thebookkeeper.The April 30, current year, bank statement and the April ledger accounts for cash showed the following(summarized):BANK STATEMENTChecksDepositsBalanceBalance, April 1, current yearP31,000Deposits during AprilInterest collectedChecks cleared during AprilNSF check - A.B. WrightBank service chargeBalance, April 30, current yearP37,10068,1001,18069,280P43,00026,28026,1201605026,07026,07014

3) Cash and cash equivalents is one of the components in the balance sheet of a business…

3. RDO Company reported a cash balance of P192,500 on December 31, 2020 which consisted of the following: Petty cash fund (Bills and coins P3,750 and petty cash voucher for P1,250) Cash on hand, which includes a customer's post- dated check (dated January 15, 2021) of P2,500 Cash in bank; 5,000 62,500 PNB-Tacloban P87,500 (12,500) BPI-Tacloban 75,000 Savings deposit-DBP-Tacloban, restricted for the purchase and intended for plant expansion 50,000 REQUIRED: Compute the amount of Cash that should be reported in RDO Compay balance sheet ate December

3. RDO Company reported a cash balance of P192,500 on December 31, 2020 which consisted of the following: Petty cash fund (Bills and coins P3,750 and petty cash voucher for P1,250) Cash on hand, which includes a customer's post- dated check (dated January 15, 2021) of P2,500 Cash in bank; 5,000 62,500 PNB-Tacloban P87,500 (12,500) BPI-Tacloban 75,000 Savings deposit-DBP-Tacloban, restricted for the purchase and intended for plant expansion 50,000 REQUIRED: Compute the amount of Cash that should be reported in RDO Compay balance sheet ate December

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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48. The following information pertains to Papaya Company on December 31, 2020: Bank statement balance- P5,000,000; Checkbook balance- P5,600,000; Deposit in transit- P2,000,000; Outstanding checks, including P100,000 certified check- P500,000. In Papaya's December 31, 2020 statement of financial position, cash should be reported at: A. P6,500,000 B. P6,600,000 C. P7,100,000 D. P7,200,000
The controller of Sim Company is trying to determine the amount of cash and cash equivalents to be reported on its December 31, 2021 statement of financial position. The following information is provided: a. Balances in the company's accounts at BPI bank: Checking account - P540,000 Savings account - P884,000 b. Undeposited customer checks of P208,000. c. Currency and coins on hand of P23,200. d. Savings account at PNB with a balance of P350,000. This account is being used to accumulate cash for future plant expansion (in 2023). e. P800,000 balance in checking account at PNB. In exchange for a line of credit, Sim has agreed to maintain a minimum balance of P100,000 in this account. f. Treasury bills: 30-day maturity bills totaling P600,000, and 180-day bills totaling P800,000. What total amount of cash and cash equivalents should be reported in the current asset section of the 2021 statement of financial position?
EFG Company established a petty cash fund of P90,000 on December 1, 2021.As of December 31, 2021, the petty cash count revealed the following:Bills and coins 19,000Expense vouchers of the following: Supplies 12,000Representation 10,000Miscellaneous 15,000Postage stamps 5,000Check payable to the petty cash custodian 38,000Envelope containing christmas party contributions (opened and empty) 3,000How much is the cash (shortage)/overage?
ABC Company reported that the cash account per ledger had a balance at December 31, 2021 of P4,415.000 which consisted of the following: Petty Cash fund Undeposited receipts including a postdated customer check for P70,000 Cash in Allied Bank, per bank statement, with a check for P40,000 still outstanding Bond sinking fund Vouchers paid out of collections, not yet recorded IOUS signed by employees, taken from collections 24,000 1,220,000 2,245,000 850,000 43,000 33,000 4.415.000 What amount should be reported as cash in the December 31, 2021 statement of financial position?
The cash account in Cake Company's ledger on December 31, 2023 showed a balance of P5,250,000 which included the following: Petty cash fund-P50,000 Undeposited receipts, including a postdated customer check of P100,000-P1,400,000 Cash in bank-P1,300,000 Cash in sinking fund-P500,000 Vouchers paid out of collections, not yet recorded-P250,000 IOUS signed by employees-P150,000 What total amount should be reported as cash in the December 31, 2023 statement of financial position?
9. On December 31, 2022, the cash account of Mobile Legends Company shows the following composition: Cash: Traveler's check P 10,000 Manager's check Petty cash Fund (including expense receipts for P3,000) Savings account, including compensating balance of P40,000 are legally restricted 23,000 6,000 200,000 1,000 Postage stamps IOUS from the officers 3,000 Bank draft in a checking account with Allied Bank 70,000 Checking account in Doug Bank, per book (outstanding checks as of year-end is P10,000) 90,000 Postal money order 20,000 Deposit segregated to pay dividends 100,000 Cash Equivalents: Securities: Date Acquired Maturity / Redemption Date Amount Treasury Bills 01/30/22 01/30/23 P 18,000 Money Market 11/01/22 04/01/23 70,000 Certificate of Deposit 12/01/22 02/28/23 50,000 Investment in Preference Shares 09/15/22 01/15/23 12,000 How much is the amount of Cash and Cash Equivalents to be presented in the balance sheet? A. 456,000 В. 516,000 C. 466,000 D. 526,000
Armenia Company reported the following information on Problem 1-3 (IAA) December 31, 2020: Cash on hand Petty cash fund" Cash in bank 1,000,000 50,000 4,000,000 2,000,000 Saving deposit 7,050,000 Cash on hand included the following: a. Customer check of P100,000 returned by bank December 26, 2020 due to insufficient fund but subsequently redeposited and cleared by bank January 5, 2021. b. Customer check for P150,000 dated January 15, 2021 received December 22, 2020. c. Postal money orders received from customers, P200,000. The petty cash fund consisted of the following items: * Currency and coins Employees' IOUS Currency in envelope marked collections for Christmas party Check drawn by Armenia payable to petty cashier 2,000 10,000 5,000 33,000 50,000 Check written and dated December 22, 2020 and delivered to payee on Januarý 5, 2021, P200,000. Check written December 26, 2020 and dated January 31, 2021 delivered to payee on December 26, 2020, P300,000. Required: 1. Prepare adjusting…
Kabugao Company provided the following information on December 31, 2019: Cash in bank, net of bank overdraft of P500,000 P 5,000,000 Petty cash, (unreplenished petty cash expenses, P10,000) P50,000 Accounts receivable, (net of customers’ account with credit balances of P1,500,000 ) P6,000,000 Notes receivable 4,000,000 Inventory 3,000,000 Bond Sinking fund 3,000,000 Total current assets 21,050,000 Accounts payable,( net of supplier’s account with debit balances of P1,000,000 ) 7,000,000 Notes payable 4,000,000 Bonds payable, due June 30, 2020, 3,000,000 Accrued expenses 2,000,000 Total current liabilities 16,000,000 What amount should be reported as total current assets on December 31, 2019? a. P19,040,000 b. P20,240,000 c. P20,050,000 d. P24,040,000
What amount should be reported as cash on december 31, 2022 Huston’s company had a checkbook balance on December 31, 2022, of P820,000 and held back the following terms: I. Check payable to Huston dated January 4, 2023, included in the December 31 checkbook balance, P90,000.II. Check payable to Huston dated December 28, 2022, and included in the December 31 balance, it was returned by the bank on December on December 30 marked NSF. The check was redeposited on January 3, 2023 and is cleared January 5, 2023, P80,000. III. Check payable to Regina Mills, a supplier, dated January 3, 2023, was delivered on December 29, 2022, P65,000. This was excluded in the December 31 balance.
39 AA Company maintained cash in bank at Lunar Bank. This account is used for disbursement to various suppliers and had P3,245,000 balance as of December 31, 2022. The selected items below are part of the recorded disbursements in 2022 which are not yet encash by the payee: Check payable to a supplier dated 3/31/2022, released 3/1/2022 P215,000 Check payable to a supplier dated 12/30/2022, released 1/2/2022 195,000 Check payable to a supplier dated 12/31/2022, released 11/15/2022 320,000 Check payable to a supplier dated 1/4/2023, released 12/28/2022 100,000 Check payable to a supplier dated 12/26/2022, released 12/30/2022 185,000 What is the correct cash balance as of December 31, 2022?
A) $ 2,667 10) Counte Company's cash balance at the end of the month was $ 5,500. After comparing the company's records with the monthly bank statement, Counte's accountant identified the following reconciling items: outstanding checks, $ 900; deposits in transit, $ 600; bank service charge, $ 20; NSF check, $ 200. What is the adjusted bank balance? A) $5,280 B) $ 5,580 C) $4,980 D) The adjusted bank balance cannot be determined.