Bud Gineery's cash in bank balance per book amounted to P100,000 after drawing an undelivered check payment of P25,000. The bank statement subsequently received reveals a credit memo of P20,000 for note collection, and a bank service charge of P100, but a P5,000 check from customer is marked NSF. As of the same day, Bud collected accounts receivable amounting to P15,000. This amount was not included in the cash in bank balance per book because it was not yet deposited. How much is the correct amount of cash balance? a. P100,000 b. P125,000 c. P140,000 d. P155,000
Bud Gineery's cash in bank balance per book amounted to P100,000 after drawing an undelivered check payment of P25,000. The bank statement subsequently received reveals a credit memo of P20,000 for note collection, and a bank service charge of P100, but a P5,000 check from customer is marked NSF. As of the same day, Bud collected accounts receivable amounting to P15,000. This amount was not included in the cash in bank balance per book because it was not yet deposited. How much is the correct amount of cash balance? a. P100,000 b. P125,000 c. P140,000 d. P155,000
College Accounting (Book Only): A Career Approach
13th Edition
ISBN:9781337280570
Author:Scott, Cathy J.
Publisher:Scott, Cathy J.
Chapter6: Bank Accounts, Cash Funds, And Internal Controls
Section: Chapter Questions
Problem 4PA
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![Bud Gineery's cash in bank balance per book amounted to
P100,000 after drawing an undelivered check payment of P25,000.
The bank statement subsequently received reveals a credit memo
of P20,000 for note collection, and a bank service charge of P100,
but a P5,000 check from customer is marked NSF. As of the same
day, Bud collected accounts receivable amounting to P15,000. This
amount was not included in the cash in bank balance per book
because it was not yet deposited.
How much is the correct amount of cash balance?
a. P100,000
b. P125,000
c. P140,000
d. P155,000](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F1f21dd62-44a3-44ed-8e12-80ddf60f5aad%2Fa3ab1602-714f-45c7-8a85-3f76d2e6ba75%2Ft6etoy8_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Bud Gineery's cash in bank balance per book amounted to
P100,000 after drawing an undelivered check payment of P25,000.
The bank statement subsequently received reveals a credit memo
of P20,000 for note collection, and a bank service charge of P100,
but a P5,000 check from customer is marked NSF. As of the same
day, Bud collected accounts receivable amounting to P15,000. This
amount was not included in the cash in bank balance per book
because it was not yet deposited.
How much is the correct amount of cash balance?
a. P100,000
b. P125,000
c. P140,000
d. P155,000
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