What total amount should be reported as “cash”?
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
Moonstone Company reported the following information at year-end:
*Government treasury bills of P2,500,000, purchased on December 31 at which time they had two months to go until maturity.
*Cash of P5,000,000 in the form of coin, currency and savings account.
*Commercial papers of P1,500,000 with term on 9 months but purchased on Dec. 31 at which time they had three months to go until maturity.
*Share investments of P500,000 that are very actively traded in stock market.
What total amount should be reported as “cash”?
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