Ie Extr a Sileeets1odule.Problem 1DELAY IN CASH RECEIPT. Blake Corporation receives average daily cash receipts of$140,000. The finance manager has determined that the time period between themailing of a check and its actual availability for corporate use is 4 days. What is theamount of cash being tied up because of the delay?Problem 2FLOAT MEASUREMENT. On a typical day, ABC Company writes checks totaling $3,000.These checks clear in 7 days. Simultaneously, the company receives $1,700. The cash isavailable in 2 days on average. Calculate the disbursement, the collection, and the netfloats and interpret the result.Problem 3OPTIMAL CASH BALANCE. Green Corporation anticipates a cash requirement of $1,000over a 1- month period. It is expected that cash will be paid uniformly. The annualinterest rate is 24 percent. The transaction cost of each borrowing or withdrawal is $30.(a) What is the optimal cash balance? (b) What is the average cash balance? (c) How muchis the total transaction cost? (d) How much is the total holding cost? (e) How much is thetotal cost of cash?Problem 4ONOMIC ORDER QUANTITY. Luster Corporation presents the following data: Usag

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Answered: Problem 1 DELAY IN CASH RE $140,000.…

Business

Accounting

Problem 1 DELAY IN CASH RE $140,000. The finan mailing of a check a amount of cash being

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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EB3. LO 8.5Record the following transactions: Started a petty cash fund in the amount of $340. Replenished petty cash fund using the following expenses: Auto $69, Office Expenses $77, Postage Expense $56, Miscellaneous Expenses $98. Cash on hand is $45. Increased petty cash by $65. Prepare the correcting journal entry.
A B C D E G H 1 Wyoming Restoration Company completed the following selected transactions during July 2021: 2 3 4 5 6 7 8 9 10 7/21/21 11 7/21/21 12 7/22/21 13 e. A check 14 7/30/21 15 16 17 Prepare all journal entries associated with the petty cash account. 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 7/1/21 Established a petty cash fund. Receipts for the following: Store supplies 7/3/21 7/7/21 7/9/21 Delivery charges on merchandise sold Office supplies 7/13/21 Office supplies 7/19/21 Postage stamps Repair to fax machine Repair to office file cabinet lock Postage due on special delivery letter Delivery charges on merchandise sold Office supplies 7/31/21 Petty cash on hand 7/1/21 Petty Cash Cash 7/31/21 Delivery Expense $ 1,030 $ 247 Office Supplies Expense $ 184 Store Supplies Expense $ 113 Misc Office Expense $ 278 $ 143 $ 15 Postage Expense Cash Over & Short Cash $ 1,030 $ GA 980 $ $ GA GA GA GA GA GA GA GA GA GA GA $ $ $ $ $ $ $ $ $ F 1,030 113 165 72 82 87 206 72 56 82 30 50 I…
Q.1.4 Petty cash transactions are defined as any transaction that causes a decrease in the:(a) Cash on hand in the bank account;(b) Cash on hand in the petty cash box;(c) Cash float in the cash register;(d) None of the above.(1) Q.1.5 In“D column is used for: (a) The name of the debtor;(b) The name of the creditor;(c) The name of the contra account where applicable;(d) The name of the owner. Q.1.6 Sold goods on credit to Debtor A Jones for R15 000 (VAT exclusive) less 7.5% trade discount. Which amount will be posted to the sales account?(a) R15 000;(b) R13 875;(c) R12 509;(d) R7 500.Q.1.7 Which one (1)(a) Original credit note;(b) Original credit invoice;(c) Duplicate credit invoice;(d) Duplicate credit note.
Probiem 9.4A (Static) Preparing a pank reconciliation statement ana journaiizing entries to aajust the cash balance. LO 9-5, 9-6 On August 31, 20X1, the balance in the checkbook and the Cash account of the Sonoma Creek Bed and Breakfast was $13,031. The balance shown on the bank statement on the same date was $13,997. Notes a. The firm's records indicate that a $1,600 deposit dated August 30 and a $601 deposit dated August 31 do not appear on the bank statement. b. A service charge of $28 and a debit memorandum of $230 covering an NSF check have not yet been entered in the firm's records. (The check was issued by Andy Stein, a credit customer.) c. The following checks were issued but have not yet been paid by the bank: $120 $130 $250 $577 $ 78 $120 Check 712, Check 713, Check 716, Check 736, Check 739, Check 741, d. A credit memorandum shows that the bank collected a $2,095 note receivable and interest of $55 for the firm. These amounts have not yet been entered in the firm's records.…
H6. 31 P XYZ Co. decided to create a petty cash fund. They estimated that $100 would be needed in the fund. Choc entry to create the account from the following. O Petty Cash is debited for $100. O Cash is debited for $100. O Petty Cash is credited for $100. O Miscellaneous Expense is debited for $100.
ts. 7,8,9 Seved Which of the following statements is correc? Multtple Cholce An endorsement is a written authortzation that transfers ownership ofa check. If a check is negotiable, It means that ownership cannot be transferred. A check is a written order signed by an authortzed person, the drawee. Most businesses make one monthly deposit of cash recelpts in order to maintaln better control over their cash
Ghadna Al Maskari Section 1/ Midterm 1 Resit Exam What Petty Cash involves, choose the best answer: t of Select one: estion a. Borrow the fund, making payment and replenish the fund O b. Establishing the fund, making payment and replenish the fund O c. Establishing the fund, making check payment and never replenish the fund O d. Establishing the fund, making check payment and replenish the fund s page
Video 2 Identify special internal controls for cash. 3 Part 3 of 4 Multiple Choice O O Checking Account Summary O On This Das Your Balance 8/31/2014 Other Debles 297.91 15.82 249.08 Which of the following statements is true? 42.53 79.87 685.00 25.75 36.45 Chocks and Dobes 61.40 289.51 M 71.59 312.47 narnson, Nevada 04210-520 4,779.86 1 Pesulting in a Balance of 3,516.45 24.95 497.00 124.61 959.30 742.59 30.90 59.91 9.40 DM 92.00 Deposts and Credits 500.25 711.43 Account Number 53-9072-3 No. Deposits Checks Paid No. Checks 6 4,537.22 22 Enclosures 29 940.00 CM 699.47 Bank services charges are not shown on a bank statement. Deposits will be shown as debits on a bank statement. On This Dara 9/30/2014 Dan 9/5 9/9 9/9 9/12 9/15 9/10 9/19 9/21 9/24 Interest revenue will be shown as a credit on a bank statement. E Balance 5,339.44 4,593.36 4.426.22 3,406.97 2.770.01 2,706.00 2,609.72 3,541.32 4,169.39 3,079.00 3.726.29 3,413.42 Checks that a company has written are shown as credits on a bank…
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