What is the adjusted balance of accounts payable on December 31, 2021?a. P158,000b. P138,000c. P118,000d. P108,000 You are engaged in the audit of Eunise Co., a new client. The Eunise Company is on a calendaryear basis. The following data were found during your audit:a) Goods in transit shipped FOB destination by a supplier in the amount of P20,000 had beenexcluded from the inventory, and further testing revealed that the purchase had beenrecorded.b) Goods costing P10,000 had been received, included in inventory, and recorded as a purchase.However, your inspection revealed that the goods were found to be defective and would beimmediately returned.c) Materials costing #50,000 and billed on December 30 at a selling price of #64,000, had beensegregated in the warehouse for inventory as a signed purchase order had been received fromthe customer. Terms, FOB destination.d) Goods costing P14,000 was out on consignment with Mariel, Inc. Since the monthly statementfrom Mariel, Inc. listed those materials as on hand, the items had been excluded from thefinal inventory and invoiced on December 31 at P16,000.e) The sale of P30,000 worth of materials and costing P24,000 had been shipped FOB point ofshipment on December 31. However, this inventory was found to be included in the finalinventory.Further inspection of the clients records revealed the following December 31, 2021 balances:Inventory, P220,000; Accounts receivable, P104,000; Accounts payable, P138,000; SalesP1,010,000; Purchases; P640,000; Net income, F180,400.Questions:Based on the above and the result of your audit, determine the balances of the adjusted balanceof accounts payable, December 31, 2021

Answer: Unadjusted Balance of Accounts payable as on Dec 31,2021…

Answered: adjusted balance of accounts payable on…

Business

Accounting

adjusted balance of accounts payable on December 31, 2021?

Auditing: A Risk Based-Approach (MindTap Course List)

11th Edition

ISBN:9781337619455

Author:Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg

Publisher:Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg

Chapter11: Auditing Inventory, Goods And Services, And Accounts Payable: The Acquisition And Payment Cycle

Section: Chapter Questions

Problem 31CYBK

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