Allare Company kept all cash in a checking account. An examination of the accounting records and bank statement for the month of June revealed the following information: The cash balance per book on June 30 is P17,000,000. A deposit of P2,000,000 that was placed in the bank’s night depository on June 30 does not appear on the bank statement. The bank statement shows on June 30, the bank collected note for Allare Company and credited the proceeds of P1,900,000 to the entity’s account. Checks outstanding on June 30 amount to P600,000 Allare discovered that a check written in June for P800,000 in payment of an account payable, had been recorded in the entity’s records as P80,000. Included with the June Bank Statement was NSF check for P500,000 that Allare had received from a customer on June 26. The bank statement shows a P40,000 service charge for June. 4. What amount should be reported as cash in bank on June 30?
Allare Company kept all cash in a checking account. An examination of the accounting
records and bank statement for the month of June revealed the following information:
The cash balance per book on June 30 is P17,000,000.
A deposit of P2,000,000 that was placed in the bank’s night depository on June 30 does not appear on the bank statement.
The bank statement shows on June 30, the bank collected note for Allare Company and
credited the proceeds of P1,900,000 to the entity’s account.
Checks outstanding on June 30 amount to P600,000
Allare discovered that a check written in June for P800,000 in payment of an account payable, had been recorded in the entity’s records as P80,000.
Included with the June Bank Statement was NSF check for P500,000 that Allare had received from a customer on June 26.
The bank statement shows a P40,000 service charge for June.
4. What amount should be reported as cash in bank on June 30?
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