Below is the bank reconciliation of CPA Company for July 2021: Balance per Bank, July 31, 2021 Add: Deposit in Transit Total P 750,000 120,000 P 870,000 Deduct: Outstanding Checks Erroneous Bank Credit P 140,000 50,000 190,000 P 680,000 Cash Balance per books, July 31, 2021 The bank statement for August 2021 contains the following data: Total deposits – P550,000; Total charges (including non-sufficient fund check of P40,000 and service charge of P2,000) – P480,000. All outstanding checks on July 31, 2021 including the bank credit were cleared in the bank in August 2021. There were outstanding checks of P150,000 and deposits in transit of P190,000 on August 31, 2021.

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Below is the bank reconciliation of CPA Company for July 2021:
Balance per Bank, July 31, 2021
Add: Deposit in Transit
P 750,000
120,000
P 870,000
Total
Deduct: Outstanding Checks
Erroneous Bank Credit
Cash Balance per books, July 31, 2021
P 140,000
50,000
190,000
P 680,000
The bank statement for August 2021 contains the following data:
Total deposits – P550,000; Total charges (including non-sufficient fund check of P40,000 and service
charge of P2,000) – P480,000. All outstanding checks on July 31, 2021 including the bank credit were
cleared in the bank in August 2021. There were outstanding checks of P150,000 and deposits in transit of
P190,000 on August 31, 2021.
How much were the cash disbursements per books during August 2021?
Transcribed Image Text:Below is the bank reconciliation of CPA Company for July 2021: Balance per Bank, July 31, 2021 Add: Deposit in Transit P 750,000 120,000 P 870,000 Total Deduct: Outstanding Checks Erroneous Bank Credit Cash Balance per books, July 31, 2021 P 140,000 50,000 190,000 P 680,000 The bank statement for August 2021 contains the following data: Total deposits – P550,000; Total charges (including non-sufficient fund check of P40,000 and service charge of P2,000) – P480,000. All outstanding checks on July 31, 2021 including the bank credit were cleared in the bank in August 2021. There were outstanding checks of P150,000 and deposits in transit of P190,000 on August 31, 2021. How much were the cash disbursements per books during August 2021?
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