Requirement: How much accounts receivable shall be presented in Twinkle's December 31, 20x1 statement of financial position?
Requirement: How much accounts receivable shall be presented in Twinkle's December 31, 20x1 statement of financial position?
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
![6. On December 31, 20x1, Twinkle Co. has accounts receivable
from, and accounts payable to, Star, Inc. amounting to
Requirement:
Offsetting of financial assets and financial liabilities
from, and accounts payable to, Star, Inc. amounting to
P200,000 and P180,000, respectively. Both accounts are due
currently. Twinkle Co. has the legal right of offset. However.
because the credit term for the accounts payable is one month
longer than the accounts receivable, Twinkle Co. intends to
collect first the accounts receivable and pay the accounts
payable at the end of the credit term.
Requirement: How much accounts receivable shall be presented in
Twinkle's December 31, 20x1 statement of financial position?](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fe461859d-2927-406c-8cbf-9befdffcccd5%2F4eb5425a-080f-4b3a-a64f-7d76b81800ba%2F80bsz8r_processed.jpeg&w=3840&q=75)
Transcribed Image Text:6. On December 31, 20x1, Twinkle Co. has accounts receivable
from, and accounts payable to, Star, Inc. amounting to
Requirement:
Offsetting of financial assets and financial liabilities
from, and accounts payable to, Star, Inc. amounting to
P200,000 and P180,000, respectively. Both accounts are due
currently. Twinkle Co. has the legal right of offset. However.
because the credit term for the accounts payable is one month
longer than the accounts receivable, Twinkle Co. intends to
collect first the accounts receivable and pay the accounts
payable at the end of the credit term.
Requirement: How much accounts receivable shall be presented in
Twinkle's December 31, 20x1 statement of financial position?
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