Problem 2-16 (IAA)hAdversary Company kept all cash in a checking account. Anexamination of the accounting records and bank statementfor the month of June revealed the following information:The cash balance per book on June 30 is P8,500,000.A deposit of P1,000,000 that was placed in the bank's nightdepository on June 30 does not appear on the bankstatement.The bank statement shows on June 30, the bank collectednote for Adversary Company and credited the proceedsof P950,000 to the entity's account.ofChecks outstanding on June 30 amount to P300,000.kAdversary Company discovered that a check written inJune for P200,000 in payment of an account payable hadbeen recorded in the entity's records as P20,000.Included with the June bank statement was NSF checkfor P250,000 that Adversary Company had received froma customer on June 26.The bank statement shows a P20,000 service charge forJune.or1. What amount should be reported as cash in bank on June30?a. 9,180,000b. 9,360,000c. 9,000,000d. 3,300,00010slyled4. What is the net adjustment to cash in bank on June 30?a. Net debitb. Net credit P450,000c. Net debitd. Net debit P860,000P950,000P500,00071

There may be differences in the cash and bank balances at the end of the accounting period due to…

Adversary Company kept all cash in a checking account. An examination of the accounting records and bank statement for the month of June revealed the following information: The cash balance per book on June 30 is P8,500,000. A deposit of P1,000,000 that was placed in the bank's night depository on June 30 does not appear on the bank statement. The bank statement shows on June 30, the bank collected note for Adversary Company and credited the proceeds of P950,000 to the entity's account. Checks outstanding on June 30 amount to P300,000. Adversary Company discovered that a check written in June for P200,000 in payment of an account payable had been recorded in the entity's records as P20,000. * Included with the June bank statement was NSF check for P250,000 that Adversary Company had received from a customer on June 26. The bank statement shows a P20,000 service charge for June. 1. What amount should be reported as cash in bank on June 30? a. 9,180,000 b. 9,360,000 c. 9,000,000 d. 3,300,000 4. What is the net adjustment to cash in bank on June 30? a. Net debit b. Net credit P450,000 c. Net debit d. Net debit P950,000 P500,000 P860,000

Adversary Company kept all cash in a checking account. An examination of the accounting records and bank statement for the month of June revealed the following information: The cash balance per book on June 30 is P8,500,000. A deposit of P1,000,000 that was placed in the bank's night depository on June 30 does not appear on the bank statement. The bank statement shows on June 30, the bank collected note for Adversary Company and credited the proceeds of P950,000 to the entity's account. Checks outstanding on June 30 amount to P300,000. Adversary Company discovered that a check written in June for P200,000 in payment of an account payable had been recorded in the entity's records as P20,000. * Included with the June bank statement was NSF check for P250,000 that Adversary Company had received from a customer on June 26. The bank statement shows a P20,000 service charge for June. 1. What amount should be reported as cash in bank on June 30? a. 9,180,000 b. 9,360,000 c. 9,000,000 d. 3,300,000 4. What is the net adjustment to cash in bank on June 30? a. Net debit b. Net credit P450,000 c. Net debit d. Net debit P950,000 P500,000 P860,000

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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