Data for item nos. 16 and 17 The following accounts and their balances in an unadjusted trial balance of Record of Youth Company as of December 31, 2020: Cash and cash equivalents- P400,000; Trade and other receivable P2,000,000; Subscription receivable- P375,000; Inventory- P500,000; Trade and other payables- P670,000; Income tax payable- P196,500. Additional information are as follows: • Trade and other receivables include long term advances to company officers amounting to P430,000. • The subscription receivable has the following call dates: June 30, 2021, P200,000; December 31, 2021, P100,000; and June 30, 2022, P75,000. • Inventory of P500,000 was determined by physical count. At December 31, 2020, goods costing P125,000 are in transit from a supplier. Terms of purchase of said goods is FOB shipping point. The goods and the related invoice have not been received as of year-end. • Trade and other payables include dividends payable amounting to P170,000, of which P70,000 is payable in cash and P100,000 is distributable in Record of Youth's own shares. 16. The total current assets at December 31, 2020 is A. P2,595,000 B. P2,670,000 C. P2,770,000 D. P2,895,000 17. The total current liabilities at December 31, 2020 is A. P866,500 B. P891,500 C. P766,500 D. P731,500
Data for item nos. 16 and 17 The following accounts and their balances in an unadjusted trial balance of Record of Youth Company as of December 31, 2020: Cash and cash equivalents- P400,000; Trade and other receivable P2,000,000; Subscription receivable- P375,000; Inventory- P500,000; Trade and other payables- P670,000; Income tax payable- P196,500. Additional information are as follows: • Trade and other receivables include long term advances to company officers amounting to P430,000. • The subscription receivable has the following call dates: June 30, 2021, P200,000; December 31, 2021, P100,000; and June 30, 2022, P75,000. • Inventory of P500,000 was determined by physical count. At December 31, 2020, goods costing P125,000 are in transit from a supplier. Terms of purchase of said goods is FOB shipping point. The goods and the related invoice have not been received as of year-end. • Trade and other payables include dividends payable amounting to P170,000, of which P70,000 is payable in cash and P100,000 is distributable in Record of Youth's own shares. 16. The total current assets at December 31, 2020 is A. P2,595,000 B. P2,670,000 C. P2,770,000 D. P2,895,000 17. The total current liabilities at December 31, 2020 is A. P866,500 B. P891,500 C. P766,500 D. P731,500
Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Chapter6: Cash And Receivables
Section: Chapter Questions
Problem 12E: Inferring Accounts Receivable Amounts At the end of 2019, Karras Inc. had a debit balance of 141,120...
Related questions
Question
Transcribed Image Text:Data for item nos. 16 and 17
The following accounts and their balances in an unadjusted trial balance of Record of Youth Company as
of December 31, 2020:
Cash and cash equivalents- P400,000;
Trade and other receivable P2,000,000;
Subscription receivable- P375,000;
Inventory- P500,000;
Trade and other payables- P670,000;
Income tax payable- P196,500.
Additional information are as follows:
• Trade and other receivables include long term advances to company officers amounting to P430,000.
• The subscription receivable has the following call dates: June 30, 2021, P200,000; December 31, 2021,
P100,000; and June 30, 2022, P75,000.
• Inventory of P500,000 was determined by physical count. At December 31, 2020, goods costing
P125,000 are in transit from a supplier. Terms of purchase of said goods is FOB shipping point. The
goods and the related invoice have not been received as of year-end.
• Trade and other payables include dividends payable amounting to P170,000, of which P70,000 is
payable in cash and P100,000 is distributable in Record of Youth's own shares.
16. The total current assets at December 31, 2020 is
A. P2,595,000
B. P2,670,000
C. P2,770,000
D. P2,895,000
17. The total current liabilities at December 31, 2020 is
A. P866,500
B. P891,500
C. P766,500
D. P731,500
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 3 steps
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
Intermediate Accounting: Reporting And Analysis
Accounting
ISBN:
9781337788281
Author:
James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:
Cengage Learning
Cornerstones of Financial Accounting
Accounting
ISBN:
9781337690881
Author:
Jay Rich, Jeff Jones
Publisher:
Cengage Learning
Century 21 Accounting Multicolumn Journal
Accounting
ISBN:
9781337679503
Author:
Gilbertson
Publisher:
Cengage
Intermediate Accounting: Reporting And Analysis
Accounting
ISBN:
9781337788281
Author:
James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:
Cengage Learning
Cornerstones of Financial Accounting
Accounting
ISBN:
9781337690881
Author:
Jay Rich, Jeff Jones
Publisher:
Cengage Learning
Century 21 Accounting Multicolumn Journal
Accounting
ISBN:
9781337679503
Author:
Gilbertson
Publisher:
Cengage
Financial Accounting
Accounting
ISBN:
9781337272124
Author:
Carl Warren, James M. Reeve, Jonathan Duchac
Publisher:
Cengage Learning