Use Selected balances from Company’s Branch A and B are as follows: (see image below) All sales, collections, and expenses are handled at the branch. All cash received from sales and collections are sent directly to the Home Office. Expenses are paid by the branch from the imprest fund and immediately reimbursed by the Home Office and credited to the Home Office account. All expenses paid by the branch are recorded in the books of the branch. Compute the balance of the Home Office account on January 1, 2021 in the books of a. Branch A and b. Branch B
Use Selected balances from Company’s Branch A and B are as follows: (see image below) All sales, collections, and expenses are handled at the branch. All cash received from sales and collections are sent directly to the Home Office. Expenses are paid by the branch from the imprest fund and immediately reimbursed by the Home Office and credited to the Home Office account. All expenses paid by the branch are recorded in the books of the branch. Compute the balance of the Home Office account on January 1, 2021 in the books of a. Branch A and b. Branch B
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Use Selected balances from Company’s Branch A and B are as follows: (see image below) All sales, collections, and expenses are handled at the branch. All cash received from sales and collections are sent directly to the Home Office. Expenses are paid by the branch from the imprest fund and immediately reimbursed by the Home Office and credited to the Home Office account. All expenses paid by the branch are recorded in the books of the branch. Compute the balance of the Home Office account on January 1, 2021 in the books of
a. Branch A and
b. Branch B
Transcribed Image Text:Branch A
Branch B
P19,000
Inventory, Jan. 1, 2021..
Imprest Branch Fund...
Inventory, Dec. 31, 2021.
A/Receivable, Jan. 1, 2021.
Merchandise from Home Office.
A/Receivable, Dec. 31, 2021.
Cash Collections...
Sales....
P21,000
2,000
1,500
19,000
55,000
61,000
12,000
43,500
47,000
...........
70,000
53,500
85,000
100,000
70,000
80,000
Cash Expenses..
21,000
14,300
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