40. On January 1, 2017, Prague Company sold its goods costing P400,000 to Budapest Company. Prague, Company maintains a mark-up of 30% on cost. Budapest Company issued a promissory note that provides for equal annual installments that will yield 12%. The first installment would be made at the end of the current year and the last on December 31, 2021. Prague Company uses the calendar year for reporting purposes The annual collections is a. 99,075 b. 110,964 128,79.7 d. 144,253 C.
40. On January 1, 2017, Prague Company sold its goods costing P400,000 to Budapest Company. Prague, Company maintains a mark-up of 30% on cost. Budapest Company issued a promissory note that provides for equal annual installments that will yield 12%. The first installment would be made at the end of the current year and the last on December 31, 2021. Prague Company uses the calendar year for reporting purposes The annual collections is a. 99,075 b. 110,964 128,79.7 d. 144,253 C.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
![5:11
all
IR1_MIDTERM_20201.pdf
Central Bank Certificates of Indebtedness
3-month Central Bank Treasury bills, maturing on January 31, 2017
3-year Treasury note, acquired three months from its maturity datc of January 31, 2017
3-year Treasury note, acquired 2 years ago, maturing on January 31, 2017
The amount to be included from çash and cash equivalents is
a. P2,500,000
P. 500,000
350,000
450,000
600,000
800,000
b, P1,700,000
c. P1,900,000
d. P1,100,000
40. On January 1, 2017, Prague Company sold its goods costing P400,000 to Budapest Company. Prague
Company maintains a mark-up of 30% on cost. Budapest Company issued a promissory note that provides
for equal annual installments that will yield 12%. The first installment would be made at the end of the
current year and the last on December 31, 2021. Prague Company uses the calendar year for reporting
purposes
The annual collections is
a. 99,075.
b. 110,964
c. 128,797
d. 144,253
41. The information that follows is available from the general ledger, cash in bank - BPI and the bank statement-
of Amsterdam Company for the month of August 2017:
Bank statement balance, August 31, P250,000
Note collected by the bank in August including interest of P2,500, P62,500
NSF checks in August, P25,000
• Outstanding checks at the beginning of August, P47,650, at the end of August, P68,450
II](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F0b6a392d-1586-4097-870e-c09366170ba2%2F84862096-42fb-4a9d-b941-9fcc3a81333f%2F9ls7e7e_processed.jpeg&w=3840&q=75)
Transcribed Image Text:5:11
all
IR1_MIDTERM_20201.pdf
Central Bank Certificates of Indebtedness
3-month Central Bank Treasury bills, maturing on January 31, 2017
3-year Treasury note, acquired three months from its maturity datc of January 31, 2017
3-year Treasury note, acquired 2 years ago, maturing on January 31, 2017
The amount to be included from çash and cash equivalents is
a. P2,500,000
P. 500,000
350,000
450,000
600,000
800,000
b, P1,700,000
c. P1,900,000
d. P1,100,000
40. On January 1, 2017, Prague Company sold its goods costing P400,000 to Budapest Company. Prague
Company maintains a mark-up of 30% on cost. Budapest Company issued a promissory note that provides
for equal annual installments that will yield 12%. The first installment would be made at the end of the
current year and the last on December 31, 2021. Prague Company uses the calendar year for reporting
purposes
The annual collections is
a. 99,075.
b. 110,964
c. 128,797
d. 144,253
41. The information that follows is available from the general ledger, cash in bank - BPI and the bank statement-
of Amsterdam Company for the month of August 2017:
Bank statement balance, August 31, P250,000
Note collected by the bank in August including interest of P2,500, P62,500
NSF checks in August, P25,000
• Outstanding checks at the beginning of August, P47,650, at the end of August, P68,450
II
Expert Solution
![](/static/compass_v2/shared-icons/check-mark.png)
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 2 steps with 3 images
![Blurred answer](/static/compass_v2/solution-images/blurred-answer.jpg)
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
![FINANCIAL ACCOUNTING](https://compass-isbn-assets.s3.amazonaws.com/isbn_cover_images/9781259964947/9781259964947_smallCoverImage.jpg)
![Accounting](https://www.bartleby.com/isbn_cover_images/9781337272094/9781337272094_smallCoverImage.gif)
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
![Accounting Information Systems](https://www.bartleby.com/isbn_cover_images/9781337619202/9781337619202_smallCoverImage.gif)
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
![FINANCIAL ACCOUNTING](https://compass-isbn-assets.s3.amazonaws.com/isbn_cover_images/9781259964947/9781259964947_smallCoverImage.jpg)
![Accounting](https://www.bartleby.com/isbn_cover_images/9781337272094/9781337272094_smallCoverImage.gif)
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
![Accounting Information Systems](https://www.bartleby.com/isbn_cover_images/9781337619202/9781337619202_smallCoverImage.gif)
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
![Horngren's Cost Accounting: A Managerial Emphasis…](https://www.bartleby.com/isbn_cover_images/9780134475585/9780134475585_smallCoverImage.gif)
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
![Intermediate Accounting](https://www.bartleby.com/isbn_cover_images/9781259722660/9781259722660_smallCoverImage.gif)
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
![Financial and Managerial Accounting](https://www.bartleby.com/isbn_cover_images/9781259726705/9781259726705_smallCoverImage.gif)
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education