Chapter 7, Problem 4ICA

To determine

Cash equivalents: Cash equivalents can be defined as any material item which can be easily liquidated which can almost be considered equal to cash.

(a)

To determine the criteria S&M use to classify “Cash and cash equivalents” as reported in its statement of financial position.

To determine

(b)

To determine the balances S&M have in cash and cash equivalents and to know the major uses of cash during the year.

To determine

(c)

To determine the amounts related to trade receivables of S&M and to know the past due but not impaired receivables of S&M.