In reconciling the cash balance on December 31 with that shown in the bank stater Willy Company provided the following information: Balance per book Balance per bank statement P2,160,000 3,200,000
In reconciling the cash balance on December 31 with that shown in the bank stater Willy Company provided the following information: Balance per book Balance per bank statement P2,160,000 3,200,000
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 1PB
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Question
From the give Problem 2, What is the adjusted cash in bank on December 31?
![Problem 2
In reconciling the cash balance on December 31 with that shown in the bank statement,
Willy Company provided the following information:
Balance per book
Balance per bank statement
Service charge
Outstanding checks
Deposit in transit
Proceeds of bank loan, December 1, discounted for 6 mos.
at 12% interest, not recorded on Willy's books
Customer check charged bank by bank for absence of
counter signature
P2,160,000
3,200,000
8,000
480,000
380,000
752,000
40,000
Deposit of P80,000 incorrectly recorded by bank as
8,000
Check of Billy Company charged bank against Willy's account 120,000
Customer note collected by bank in favor of Willy Company:
(face amount, P320,000; interest, P32,000; and
collection fee, P4,000)
Deposit of Billy Company credited to Willy Company
Erroneous debit memo of December 29, to charge Willy's
account with settlement of bank loan
348,000
240,000
160,000](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F037eae61-e5e8-4061-a8a6-658b10413c5b%2Fc7dd9317-acbb-48e6-8072-a97129760b06%2Fz5fkioi_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Problem 2
In reconciling the cash balance on December 31 with that shown in the bank statement,
Willy Company provided the following information:
Balance per book
Balance per bank statement
Service charge
Outstanding checks
Deposit in transit
Proceeds of bank loan, December 1, discounted for 6 mos.
at 12% interest, not recorded on Willy's books
Customer check charged bank by bank for absence of
counter signature
P2,160,000
3,200,000
8,000
480,000
380,000
752,000
40,000
Deposit of P80,000 incorrectly recorded by bank as
8,000
Check of Billy Company charged bank against Willy's account 120,000
Customer note collected by bank in favor of Willy Company:
(face amount, P320,000; interest, P32,000; and
collection fee, P4,000)
Deposit of Billy Company credited to Willy Company
Erroneous debit memo of December 29, to charge Willy's
account with settlement of bank loan
348,000
240,000
160,000
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