Josephine Company's checkbook balance on December 31, 2023 was P900,000. In addition, JosephineCompany held the following items in its safe on December 31:Check payable to Josephine Co., dated January 5, 2024, not included inDecember 31 checkbook balanceCheck payable to Josephine Co., deposited December 20 and included inDecember 31 checkbook balance but returned by bank on December 30,stamped "NSF". The check was redeposited January 2, 2024 and cleared onJanuary 3, 2024.Check drawn on Josephine Co.'s account and payable to a vendor, dated andrecorded December 31 but not mailed until January 15, 2024.P200,00050,000150,000What is the proper amount to be shown as cash on Josephine Co.'s statement of financial position onDecember 31, 2023?

Balance as per Checkbook as on 31st Dec,2023 900000 Add: Checks issued by not encashed in December…

Answered: What is the proper amount to be shown…

Business

Accounting

What is the proper amount to be shown as cash on Josephine Co.'s statement of financial position on December 31, 2023?

College Accounting (Book Only): A Career Approach

13th Edition

ISBN:9781337280570

Author:Scott, Cathy J.

Publisher:Scott, Cathy J.

Chapter6: Bank Accounts, Cash Funds, And Internal Controls

Section: Chapter Questions

Problem 1PB

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Complex Balance Sheet Presented below is the unaudited balance sheet as of December 31, 2019, prepared by Zeus Manufacturing Corporations bookkeeper. Your company has been engaged to perform an audit, during which you discover the following information: 1. Checks totaling 14,000 in payment of accounts payable were mailed on December 31, 2019, but were not recorded until 2020. Late in December 2019, the bank returned a customers 2,000 check marked NSF, but no entry was made. Cash includes 100,000 restricted for building purposes. 2. Included in accounts receivable is a 30,000 note due on December 31, 2022, from Zeuss president. 3. During 2019, Zeus purchased 500 shares of common stock of a major corporation that supplies Zeus with raw materials. Total cost of this stock was 51,300, and fair value on December 31, 2019, was 51,300. Zeus plans to hold these shares indefinitely. 4. Treasury stock was recorded at cost when Zeus purchased 200 of its own shares for 32 per share in May 2019. This amount is included in investments. 5. On December 31, 2019, Zeus borrowed 500,000 from a bank in exchange for a 10% note payable, manning December 31, 2024. Equal principal payments are due December 31 of each year beginning in 2020. This note is collateralized by a 250,000 tract of land acquired as a potential future building site, which is included in land. 6. The mortgage payable requires 50,000 principal payments, plus interest, at the end of each month. Payments were made on January 31 and February 28, 2020. The balance of this mortgage was due June 30, 2020. On March 1, 2020, prior to issuance of the audited financial statements, Zeus consummated a non-cancelable agreement with the lender to refinance this mortgage. The new terms require 100,000 annual principal payments, plus interest, on February 28 of each year, beginning in 2021. The final payment is due February 28, 2028. 7. The lawsuit liability will be paid in 2020. 8. Of the total deferred tax liability; 5,000 is considered a current liability. 9. The current income tax expense reported in Zeuss 2019 income statement was 61,200. 10. The company was authorized to issue 100,000 shares of 50 par value common stock.
Suga Corp. had a checkbook balance on December 31, 2021 of P10,000,000 and held the following items in the safe:· Check payable to Suga, dated January 4, 2021, included in the December 31 checkbook balance- P3,000,000· Check payable to Suga, deposited December 20 and included in the December 31 checkbook balance but returned by bank on December 30, stamped NSF. The check was redeposited on January 2, 2022 and cleared January 3, 2022- P1,000,000· Check drawn on Suga’s account and payable to contractor, dated and recorded December 31 but not mailed until January 15, 2022- P1,500,000· Cash on hand - undeposited collections- P500,000· Change fund- P10,000· Time deposit for plant expansion- P1,000,000· Treasury bill- P2,500,000· Money market placement- P3,000,000· Postage stamps- P5,000 What is the total amount should be reported as cash on December 31, 2021?
Hotdog Corp. had a checkbook balance on December 31, 2021 of P10,000,000 and held the following items in the safe:· Check payable to Hotdog, dated January 4, 2021, included in the December 31 checkbook balance- P3,000,000· Check payable to Hotdog, deposited December 20 and included in the December 31 checkbook balance but returned by bank on December 30, stamped NSF. The check was redeposited on January 2, 2022 and cleared January 3, 2022- P1,000,000· Check drawn on Hotdog's account and payable to contractor, dated and recorded December 31 but not mailed until January 15, 2022- P1,500,000· Cash on hand - undeposited collections- P500,000· Change fund- P10,000· Time deposit for plant expansion- P1,000,000· Treasury bill- P2,500,000· Money market placement- P3,000,000· Postage stamps- P5,000 What is the total amount should be reported as cash on December 31, 2021?
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Taemin Inc. had a checkbook balance on December 31, 2020 of P10,000,000 and held the following items in the safe:· Check payable to Taemin Inc., dated January 4, 2020, included in the December 31 checkbook balance- P3,000,000· Check payable to Taemin Inc., deposited December 20 and included in the December 31 checkbook balance but returned by bank on December 30, stamped NSF. The check was redeposited on January 2, 2021 and cleared January 3, 2021- P1,000,000· Check drawn on Taemin Inc.’s account and payable to contractor, dated and recorded December 31 but not mailed until January 15, 2021- P1,500,000· Cash on hand - undeposited collections- P500,000· Change fund- P10,000· Time deposit for plant expansion- P1,000,000· Treasury bill- P2,500,000· Money market placement- P3,000,000· Postage stamps- P5,000 What is the total amount should be reported as cash on December 31, 2020?
The following information pertains to Candy company on December 31, 2019: Cash balance per bank statement P2,000,000 Checks outstanding (including certified check of P50,000) P 250,000 Customer note collected by bank for Candy P 75,000 NSF checks of customers returned by bank P 100,000 Bank service charge shown in December bank statement P 10,000 Error made by Candy in recording a check that cleared the bank In December (check was drawn in December for P50,000 But recorded at P5,000) P 45,000 Deposit in transit P 650,000 What is the cash balance per ledger on December 31, 2019?
Serato Company keeps all its cash in a checking account. An examination of the entity's accounting records and bank statement for the month ended December 31, 2020 revealed a bank statement balance of P8,469,000 and a book balance of P8,524,000. A deposit of P950,000 placed in the bank's night depository on December 29 does not appear on the bank statement. Checks outstanding on December 31 amount to P270, 000. The bank statement shows that on December 25, the bank collected a note for Serato Company and credited the proceeds of P935,000 to the entity's account. The proceeds included P35,000 interest, all of which Serato Company earned during the current period. Serato Company has not yet recorded the said collection. Serato Company discovered that check number 1000759 written in December for P183,000 in payment of an account had been recorded in the entity's records as P138,000. Included with the December 31 bank statement was an NSF check for P250,000 that Serato Company had received…
On March 31, Sigment Company had a $44,547.60 checkbook balance. The bank statement showed a balance on that date of $46,574.10, and the following information on the bank statement had not been entered in the checkbook: $24.75 Service charge $68.85 NSF charge A review of the company’s bank statement and checkbook showed a deposit in transit of $3,919.44 and outstanding checks as follows: Number 234 for $281.34 Number 236 for $445.12 Number 237 for $2,901.60 Number 238 for $2,411.48 Prepare a bank reconciliation in proper format. List and total the outstanding checks at the bottom of the bank reconciliation.
5) Marc Company's checkbook balance at December 31, 2021 was P123,450. In addition, Marc held the following items in its safe on that date: Page 1 of 3 Check payable to Marc, deposited December 15 and included in December 31 checkbook balance, but returned by the bank on December 31 stamped "NSF". The check was redeposited on January 2, 2022 and cleared on January 9, 2022 Check payable to Marc dated January 2, 2022 in payment of a sale made in December 12,500 2021, not included in December 31 checkbook balance 15,000 Check draw on Marc's account, payable to a vendor, dated and recorded in Marc's books on December 31, but not mailed until January 10, 2022 8,275 What is the amount of cash in Marc's December 31, 2021 statement of financial position? A. 127,675 B. 123,450 C. 119,225 D. 134,225
The Cash account of Salety Security Systema reported a balanoe of $2410 at December 31, 2024. There were outstanding checks totaing $2,000 and a December 31 deposit in transt of 5400. The bark statement, which came from Park Cites Bank, listed the December 31 balance of $4,530. Included in the bark balance was a colection of $530 on account from Jane Lindsey, a Safety oustomer who pays the bank directly The bank statement also shows a $30 service charge and $20 of interest revenue that Safety eamed on ts barik balance. Prepare Safety's bank reconciliation at December 31, Safety Security Systems Bank Reconcillation December 31, 2024 Bank: Balance, December 31, 2024 ADD LESS Adusted hank balance, December 31, 2024 Book Balance, Docombor 31, 2024 ADD: LESS Adjusted book balance, December 31, 2024
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