Current Assets and Current Liabilities The accounts below were taken from the unadjusted trial balance of Deco Company as of December 31, 20X1: Cash P124,000 Trading securities, at cost 87,000 Notes receivable 92,000 Trade accounts receivable 122,000 Allowance for doubtful accounts 6,000 Merchandise inventory 136,000 Notes payable 150,000 Trade accounts payable 75,000 Employees' income tax withheld 4,000 Bonds payable 250,000 Stock dividends payable 15,000 Income tax payable 28,000 An analysis of the above accounts disclosed the following: 1. Bank overdraft of P13,000 was deducted from cash balance. 2. Trade accounts receivable was net of customers' deposit of P7,000. 3. Merchandise worth P15,000 received December 30, 20X1 was included in the inventory but was not recorded as a purchase. 4. Accounts payable was net of accounts with
Current Assets and Current Liabilities The accounts below were taken from the unadjusted trial balance of Deco Company as of December 31, 20X1: Cash P124,000 Trading securities, at cost 87,000 Notes receivable 92,000 Trade accounts receivable 122,000 Allowance for doubtful accounts 6,000 Merchandise inventory 136,000 Notes payable 150,000 Trade accounts payable 75,000 Employees' income tax withheld 4,000 Bonds payable 250,000 Stock dividends payable 15,000 Income tax payable 28,000 An analysis of the above accounts disclosed the following: 1. Bank overdraft of P13,000 was deducted from cash balance. 2. Trade accounts receivable was net of customers' deposit of P7,000. 3. Merchandise worth P15,000 received December 30, 20X1 was included in the inventory but was not recorded as a purchase. 4. Accounts payable was net of accounts with
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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| Current Assets and Current Liabilities |
| The accounts below were taken from the unadjusted |
| Cash | P124,000 |
| Trading securities, at cost | 87,000 |
| Notes receivable | 92,000 |
| Trade |
122,000 |
| Allowance for doubtful accounts | 6,000 |
| Merchandise inventory | 136,000 |
| Notes payable | 150,000 |
| Trade accounts payable | 75,000 |
| Employees' income tax withheld | 4,000 |
| Bonds payable | 250,000 |
| Stock dividends payable | 15,000 |
| Income tax payable | 28,000 |
An analysis of the above accounts disclosed the following: 1. Bank overdraft of P13,000 was deducted from cash balance. 2. Trade accounts receivable was net of customers' deposit of P7,000. 3. Merchandise worth P15,000 received December 30, 20X1 was included in the inventory but was not recorded as a purchase. 4. Accounts payable was net of accounts with debit balance of P12,000. 5. A bank loan of P30,000 due December 31, 20X3 was included in the notes payable balance. 6. Bonds payable which was issued in 20X1 will mature in five annual instalments beginning June 1, 20x2. 7. Trading securities have a fair market value of P90,000.
Based on the foregoing facts, how much total current assets should be reported on the
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