Lyle Company is preparing financial statements for the year ended December 31,2021.Accounts payable amounted to P360,000 before any necessary year-end adjustment related to the following: On December 31, 2021, Lyle has a P50,000 debit balance in accounts payable to Reese, a supplier, resulting from a P50.000 advance payment for goods to be manufactured. Checks in the amount of P100,000 were written to vendors and recorded on December 20, 2021. The checks were mailed on January 5, 2022. Goods shipped FOB shipping point on December 20, 2021 were received and recorded by Lyle on January 2, 2022. The invoice cost was P45,000. What amount should be reported as accounts payable on December 31, 2021? a. 555,000 b. 455,000 C. 310,000 d. 460,000
Lyle Company is preparing financial statements for the year ended December 31,2021.Accounts payable amounted to P360,000 before any necessary year-end adjustment related to the following:
On December 31, 2021, Lyle has a P50,000 debit balance in accounts payable to Reese, a supplier, resulting from a P50.000 advance payment for goods to be manufactured.
Checks in the amount of P100,000 were written to vendors and recorded on December 20, 2021. The checks were mailed on January 5, 2022.
Goods shipped FOB shipping point on December 20, 2021 were received and recorded by Lyle on January 2, 2022. The invoice cost was P45,000.
What amount should be reported as accounts payable on December 31, 2021?
a. 555,000
b. 455,000
C. 310,000
d. 460,000
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