PROBLEM #5 Jorjan Co. showed the following information on August 31: Balance of cash in bank account Balance of bank statement 1,300,000 1,200,000 Outstanding checks, August 31: Number 555 10,000 761 55,000 762 40,000 763 25,000 764 65,000 765 70,000 Receipts of August 31, deposited September 1 275,000 Service charge for August NSF check received from a customer The cashier-bookkeeper had misappropriated P30,000 and an additional P10,000 by charging sales discount and crediting accounts receivable. The stub for check no. 765 and the invoice relating thereto showed that it was for P50.000. It was recorded incorrectly in the cash disbursement journal as P70,000. This check was drawn in payment of an accounts payable. Payment has been stopped on check no. 555 which was drawn in payment of an accounts payable. The payee cannot be located. What is the ADJUSTED CASH IN BANK on August 31? 5,000 85,000
PROBLEM #5 Jorjan Co. showed the following information on August 31: Balance of cash in bank account Balance of bank statement 1,300,000 1,200,000 Outstanding checks, August 31: Number 555 10,000 761 55,000 762 40,000 763 25,000 764 65,000 765 70,000 Receipts of August 31, deposited September 1 275,000 Service charge for August NSF check received from a customer The cashier-bookkeeper had misappropriated P30,000 and an additional P10,000 by charging sales discount and crediting accounts receivable. The stub for check no. 765 and the invoice relating thereto showed that it was for P50.000. It was recorded incorrectly in the cash disbursement journal as P70,000. This check was drawn in payment of an accounts payable. Payment has been stopped on check no. 555 which was drawn in payment of an accounts payable. The payee cannot be located. What is the ADJUSTED CASH IN BANK on August 31? 5,000 85,000
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:PROBLEM #5
Jorjan Co. showed the following information on August 31:
Balance of cash in bank account
Balance of bank statement
Outstanding checks, August 31:
Number 555
1,300,000
1,200,000
10,000
761
55,000
762
40,000
763
25,000
764
65,000
765
70,000
Receipts of August 31, deposited September 1
275,000
Service charge for August
NSF check received from a customer
The cashier-bookkeeper had misappropriated P30,000 and an additional
P10,000 by charging sales discount and crediting accounts receivable.
The stub for check no. 765 and the invoice relating thereto showed that it wo
for P50,000. It was recorded incorrectly in the cash disbursement journal as
P70,000. This check was drawn in payment of an accounts payable.
Payment has been stopped on check no. 555 which was drawn in payment
of an accounts payable. The payee cannot be located.
5,000
85,000
What is the ADJUSTED CASH IN BANK on August 31?
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