37)At Dec 31, Michael Corp has the following bank information: Cash balance per bank $4,500 Outstanding checks $200 Deposits in transit $1,000

Q: What should the net change in cash section of the statement of cash flows always reconcile with?

A: Cash flows statement is a summary statement which provides details of all the cash inflows and cash…

Q: What are normal and nonnormal cash flows?

A: Answer: Normal cash flows projects are those in which one or two cash outflows occur at the outset…

Q: What is the nature of the account Fund balance with Treasury? When is that account debited, and when…

A: Nature of accounts helps management to record the financial transactions as per double entry system…

Q: What is the difference between the sources (in nows) and uses (out nows) of cash?

A: The question is based on the concept of cash flow statement and cash flow analysis for a particular…

Q: How do I calculate cash provided by operations?

A: Cash provided by the operations = Cash flow from operations = EBIT x (1 - Tax rate, T) + Non cash…

Q: Define Restricted Cash.

A: Restricted cash refers to money that is held for a specific purpose and therefore not available to…

Q: how is liquidity determines in cash collection period

A: Liquidity refers to the ability of a company to meet its short-term obligations with cash or cash…

Q: What are the Examples of cash equivalents?

A: Cash & Cash equivalents: Cash is the money which is readily available in the form of currency.…

Q: How to determine cash portion of retained earnings

A: Retained earnings are that part of profit which is reinvested in the business. It is the amount left…

Q: Explain the possible restrictions on cash and their implications for classification in the balance…

A: Restricted Cash Restricted cash is define as the cash is not freely available for the company to…

Q: Describe cash equivalents

A: Cash equivalent means that amount which can be easily convertible into cash with any loss of value.…

Q: A decrease in Accounts Payable is a ( SOURCE or  USE) of funds?

A: The cash flows statement is used to record cash inflows or cash outflow from the company in order to…

Cash Book

So, before coming to the topic of cash books, I will let you briefly explain about the cash so that you all can be familiar with the word cash. Cash comes under the category of the current asset which is used as a medium of exchange for all the financial transactions in the firm. Cash is something that is universally accepted as a mode of payment. So, now comes to the topic i.e., cash book.