How much should be the adjusted Cash in Bank balance as of December 31, 2020?The December 31, 2020 trial balance of Hero Company included the followingaccounts:Cash on hand500,000Petty cash fundP 20,000Security Bank current1,000,000accountPNB current account350,000BSP treasury bill - 60 days3,000,000BPI time deposit - 30 days2,000,000Details are as follows:1. The cash on hand included a customer postdated check of P100,000.2. The petty cash fund included unreplenished petty cash vouchers for P2,000and an employee check for P3,000 dated January 31, 2021.3. A check for P200,000 was drawn by the company against its Security Bankaccount, dated January 15, 2021, delivered to the payee and recorded onDecember 29, 2020.4. The BPI time deposit is set aside for acquisition of land to be used as afactory site.What total amount of cash and cash equivalents should be reported in the statementof financial position on December 31, 2020?

Answer: Cash equivalents are the total value of cash on hand that includes items that are similar to…

Answered: How much should be the adjusted Cash in…

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 20E

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Cash Receipts from Customers Singleton Inc. had accounts receivable of $22,150 at January 1, 2019, and $26,850 at December 31, 2019. Net income for 2019 was $125,300 and sales revenue was $1,240,000. Required: Compute the amount of cash collected from customers using the direct method.
Determining Cash Flows from Financing Activities Solomon Construction Company reported the following amount on its balance sheet at the end of 2019 and 2018 for notes payable: Required: 1. If Solomon did not repay any notes payable during 2019, determine how much cash Solomon received from the issuance of notes payable. 2. If Solomon repaid $40,000 of notes payable during 2019, determine what amounts Solomon would report in the financing activities section of the statement of cash flows.
What is the journal entry to record an NSF check, from J. Smith for 250, that is returned with the bank statement? a. Cash 250 DR; NSF Check 250 CR b. Accounts Receivable 250 DR; Cash 250 CR c. NSF Check 250 DR; Accounts Receivable 250 CR d. Cash 250 DR; Accounts Receivable 250 CR e. Cash 250 DR; Miscellaneous Expense 250 DR
Comprehensive Receivables Problem Blackmon Corporations December 31, 2018, balance sheet disclosed the following information relating to its receivables: The company has a recourse liability of 700 related to a note receivable sold to a bank. During 2019, credit sales (terms, n/EOM) totaled 2,200,000, and collections on accounts receivable (unassigned) amounted to 1,900,000. Uncollectible accounts totaling 18,000 from several customers were written off, and a 1,350 accounts receivable previously written off was collected. Additionally, the following transactions relating to Blackmons receivables occurred during the year: On December 31, 2019, an aging of the accounts receivable balance indicated the following: Required: 1. Prepare the journal entries to record the preceding receivable transactions during 2019 and the necessary adjusting entry on December 31, 2019. Assume a 360-day year for interest calculations and round calculations to the nearest dollar. 2. Prepare the receivables portion of Blackmons December 31, 2019, balance sheet. 3. Next Level Compute Blackmons accounts receivable turnover in days, assuming a 360-day business year. What is your evaluation of its collection policies? 4. If Blackmon uses IFRS, what might be the heading of the section for the receivables reported in Requirement 2?
The December 31,2020 trial balance of DDD Company includes the followingaccounts:Cash on hand 1,000,000Petty cash fund 40,000Security Bank current account 2,000,000PNB Current account No. 1 800,000PNB Current account No. 2 ( 100,000)BSP Treasury bill – 60 days 6,000,000BPI time deposit – 30 days 4,000,000 The cash on hand includes a customer post-dated check of P200,000 andpostal money order of P80,000.  The petty cash fund includes unreplenished petty cash vouchers for P4,000and an employee check for P6,000 dated January 31,2021.  A check for P400,000 was drawn against Security Bank account, datedJanuary 15,2021, delivered to the payee and recorded December 31,2020.  The BPI time deposit is set aside for acquisition of land to be used as afactory site.4. What amount of cash and cash equivalents should be reported in statement of financial position on December 31,2020?
The December 31,2020 trial balance of DDD Company includes the followingaccounts: Cash on hand 1,000,000 Petty cash fund 40,000 Security Bank current account 2,000,000 PNB Current account No. 1 800,000 PNB Current account No. 2 ( 100,000) BSP Treasury bill – 60 days 6,000,000 BPI time deposit – 30 days 4,000,000 The cash on hand includes a customer post-dated check of P200,000 andpostal money order of P80,000. The petty cash fund includes unreplenished petty cash vouchers for P4,000and an employee check for P6,000 dated January 31,2021. ● A check for P400,000 was drawn against Security Bank account, datedJanuary 15,2021, delivered to the payee and recorded December 31,2020. ● The BPI time deposit is set aside for acquisition of land to be used asafactory site. What amount of cash and cash equivalents should be reported in statementof financial position on December 31,2020?
The December 31,2019 trial balance of Aboitiz Equity Ventures, Inc., includes the following accounts: Cash on hand P 500,000Petty cash fund 20,000Security bank current account 1,000,000Metrobank current account #1 400,000Metrobank current account #2 ( 50,000)BSP treasury bill – 60 days 3,000,000BPI time deposit - 30 days 2,000,000 • The cash on hand includes a customer postdated check of P100,000 and postal money order of P40,000.• The petty cash fund includes unreplenished petty cash vouchers for P2,000 and an employee check for P3,000 dated January 31,2020.• A check for P200,000 was drawn against Security bank account, dated January 15,2020, delivered to the payee and recorded December 31,2019. The correct amount of “cash” to be reported in the statement of financial position on December 31,2019 is?
The December 31, 2019 trial balance of Cagayan Company includes the following accounts:Cash on hand 200,000Petty cash fund 20,000BPI current account 5,000,000BDO current account 4,000,000MBTC current account (100,000)RCBC savings account 250,000BDO time deposit, 90 days 2,000,00090-day Treasury bills due, January 14,2020 1,000,000● Cash on hand includes the following items:- Customer’s check for P35,000 returned by bank December 26, 2019 due toinsufficient fund but subsequently redeposited and cleared by the bank on January10, 2020.- Customer’s check for P15,000 dated January 10, 2020 received December 23, 2019.● The petty cash fund consisted of the following items as of December 31, 2019:Currency and coins 5,000IOUs from an officer 2,000Unreplenished PC vouchers 12,000● Included among the checks drawn by Cagayan against the BPI current account andrecorded in December 2019 are the following:- Check written and dated December 23, 2019 and delivered to payee on December31, 2019,…
On December 31, 2019, Taehyung Company had the following cash balances: Cash in bank- P2,500,000 Petty Cash fund (all funds were reimbursed on 12/31/2019)- P150,000 Time deposit (start date: December 1, 2019 and due February 14, 2020)- P350,000 Cash in bank included P900,000 of compensating balance against short-term borrowing arrangement on December 31, 2019. The compensating balance is legally restricted as to withdrawal. In the December 31, 2019, statement of financial position, what total amount should be reported as cash and cash equivalents?
India Company reported the following accounts on December 31, 2020: Cash on hand P 1,000,000 Petty Cash Fund 50,000 Security Bank current account 1,500,000 PNB current account 2,000,000 BDO current account (overdraft) ( 200,000) BSP treasury bill -120 days 3,000,000 BPI time deposit - 90 days 1,000,000 Bond Sinking Fund 2,500,000 PNB savings account (held as compensating balance-restricted) 500,000 The cash on hand included a customer postdated check of P150,000 and postal money order of P50,000. The petty cash fund included unreplenished petty cash vouchers for P10,000 and an employee check for P5,000 dated January 31, 2021. The BPI time deposit is set aside for acquisition of land to be made in early January of 2021. The bond sinking fund is set aside for payment of bond payable due December 31, 2021 The PNB saving account was restricted as compensating balance for two years due to a loan agreement entered by India Company to PNB. Requirements:…
Johnson Company had the following balances on December 31, 2019: Cash in checking account 250,000 Cash in money market account 500,000 Treasury bill, purchased November 1, 2019 maturing January 31, 2020 4,500,000 Time deposit purchased December 1, 2019 maturing March, 31, 2020 3,000,000 What amount should be reported as “cash and cash equivalents” on Dec. 31, 2019?
You were able to gather the following from the December 31, 2020 trialbalance of PPP COMPANY:Cash on hand P 500,000Petty cash fund 10,000BPI current account 1,000,000Security Bank current account No. 1 1,080,000Security Bank current account No. 2 (80,000)PNB savings account 1,200,000PNB current account 500,000 Cash on hand includes the following items: Customer’s check for 45,000 returned by bank on December 26, 2020 dueto insufficiency of funds but subsequently redeposited and cleared bythe bank on January 8, 2021 Customer’s check for 25,000 dated January 2, 2021, received inDecember 29, 2020 Postal money orders received from customers 30,000The petty cash fund consisted of the following items as of December 31, 2020Currency and coins P 2,000Employees’ vales 1,600Currency in envelope marked “collections for charity 1,200Unreplenished petty cash vouchers 1,300Check drawn by PPP payable to petty cash custodian 4,00010,100 Included among the checks drawn by PPP against the BPI current…

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