Vienna Company provided the following information at the current year-end: Cash in bank, per bank statement …………………………………….….…… . 200,000 Petty cash fund ………………………………………………………..…………. 3,000 Commercial paper with maturity of 2 months ………………………..…. 55,000 Customer postdated checks ……………………………………………………. 14,000 Plant expansion fund …………………………………………………………….. 150,000 Bond sinking fund (Bonds are due in 5 months) ……………………………. 120,000 Cash fund for payment of salaries ……………………………………………. 200,000 Sales ……………………………………………………………………………..…. 4,250,000 Sales returns and allowance …………………………………………………….. 140,000 Accounts receivable …………………………………………………………….. 430,000 Allowance for doubtful accounts before adjustment - debit balance…. … 7,600 Deposit in transit and outstanding checks were P80,000 and P55,000 respectively at year-end. The entity estimated that 10% of the accounts receivable balance will be uncollectible. 1) What amount of cash and cash equivalent should be reported on December 31, 2023? 2) What is the doubtful accounts expense for the current year?
- Vienna Company provided the following information at the current year-end:
Cash in bank, per bank statement …………………………………….….…… . 200,000
Petty cash fund ………………………………………………………..…………. 3,000
Commercial paper with maturity of 2 months ………………………..…. 55,000
Customer postdated checks ……………………………………………………. 14,000
Plant expansion fund …………………………………………………………….. 150,000
Bond sinking fund (Bonds are due in 5 months) ……………………………. 120,000
Cash fund for payment of salaries ……………………………………………. 200,000
Sales ……………………………………………………………………………..…. 4,250,000
Sales returns and allowance …………………………………………………….. 140,000
Allowance for doubtful accounts before adjustment - debit balance…. … 7,600
Deposit in transit and outstanding checks were P80,000 and P55,000 respectively at year-end. The entity estimated that 10% of the accounts receivable balance will be uncollectible.
1) What amount of cash and cash equivalent should be reported on December 31, 2023?
2) What is the doubtful accounts expense for the current year?
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