Problem 3-10 (AICPA Adapted) Cool Company prepared the following bank reconciliation for the month of November: Balance per bank statement, November 30 Add: Deposit in transit Less: Outstanding checks Bank credit recorded in error Balance per book, November 30 Data per bank statement for the month of December: December deposits, including note receivable collected of P1,000,000 for Cool Company December disbursements, including NSF check P350,000 and service charge P50,000 1,200,000 200,000 5,500,000 4,400,000 All items that were outstanding on November 30 cleared through the bank in December, including the bank credit. In addition, checks of P500,000 were outstanding and deposits of P700,000 were in transit on December 31. 1. What is the adjusted cash in bank on December 31? a. 5,400,000 b. 4,400,000 5,500,000 3,600,000 800,000 4,400,000 a. 4,700,000 b. 4,900,000 c. 4,500,000 d. 3,200,000 2. What is the balance of cash per ledger on December 31? c. d. 6,400,000 1,400,000 3,000,000 a. 4,100,000 b. 4,900,000 c. 4,700,000 d. 4,300,000 3. What is the amount of cash receipts per book in December? a. 3,700,000 b. 3,300,000 c. 3,100,000 d. 3,500,000 94 4. What is the amount of cash disbursements per book in December?
Problem 3-10 (AICPA Adapted) Cool Company prepared the following bank reconciliation for the month of November: Balance per bank statement, November 30 Add: Deposit in transit Less: Outstanding checks Bank credit recorded in error Balance per book, November 30 Data per bank statement for the month of December: December deposits, including note receivable collected of P1,000,000 for Cool Company December disbursements, including NSF check P350,000 and service charge P50,000 1,200,000 200,000 5,500,000 4,400,000 All items that were outstanding on November 30 cleared through the bank in December, including the bank credit. In addition, checks of P500,000 were outstanding and deposits of P700,000 were in transit on December 31. 1. What is the adjusted cash in bank on December 31? a. 5,400,000 b. 4,400,000 5,500,000 3,600,000 800,000 4,400,000 a. 4,700,000 b. 4,900,000 c. 4,500,000 d. 3,200,000 2. What is the balance of cash per ledger on December 31? c. d. 6,400,000 1,400,000 3,000,000 a. 4,100,000 b. 4,900,000 c. 4,700,000 d. 4,300,000 3. What is the amount of cash receipts per book in December? a. 3,700,000 b. 3,300,000 c. 3,100,000 d. 3,500,000 94 4. What is the amount of cash disbursements per book in December?
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 11MC
Related questions
Question
Transcribed Image Text:Problem 3-10 (AICPA Adapted)
Cool Company prepared the following bank reconciliation
for the month of November:
Balance per bank statement, November 30
Add: Deposit in transit
3,600,000
800,000
4,400,000
Less: Outstanding checks
Bank credit recorded in error
1,200,000
200,000
1,400,000
3,000,000
Balance per book, November 30
Data per bank statement for the month of December:
December deposits, including note receivable
collected of P1,000,000 for Cool Company
December disbursements, including NSF check
P350,000 and service charge P50,000
5,500,000
4,400,000
All items that were outstanding on November 30 cleared
through the bank in December, including the bank credit.
In addition, checks of P500,000 were outstanding and
deposits of P700,000 were in transit on December 31.
1. What is the adjusted cash in bank on December 31?
a. 4,700,000
b. 4,900,000
c. 4,500,000
d. 3,200,000
2. What is the balance of cash per ledger on December 31?
a. 4,100,000
b. 4,900,000
c. 4,700,000
d. 4,300,000
3. What is the amount of cash receipts per book in December?
a. 5,400,000
b. 4,400,000
c. 5,500,000
d. 6,400,000
4.
What is the amount of cash disbursements per book in
December?
a. 3,700,000
b. 3,300,000
c. 3,100,000
d. 3,500,000
94
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 4 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
Corporate Financial Accounting
Accounting
ISBN:
9781305653535
Author:
Carl Warren, James M. Reeve, Jonathan Duchac
Publisher:
Cengage Learning
Cornerstones of Financial Accounting
Accounting
ISBN:
9781337690881
Author:
Jay Rich, Jeff Jones
Publisher:
Cengage Learning
Intermediate Accounting: Reporting And Analysis
Accounting
ISBN:
9781337788281
Author:
James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:
Cengage Learning
Corporate Financial Accounting
Accounting
ISBN:
9781305653535
Author:
Carl Warren, James M. Reeve, Jonathan Duchac
Publisher:
Cengage Learning
Cornerstones of Financial Accounting
Accounting
ISBN:
9781337690881
Author:
Jay Rich, Jeff Jones
Publisher:
Cengage Learning
Financial Accounting: The Impact on Decision Make…
Accounting
ISBN:
9781305654174
Author:
Gary A. Porter, Curtis L. Norton
Publisher:
Cengage Learning
Survey of Accounting (Accounting I)
Accounting
ISBN:
9781305961883
Author:
Carl Warren
Publisher:
Cengage Learning
Financial Accounting
Accounting
ISBN:
9781305088436
Author:
Carl Warren, Jim Reeve, Jonathan Duchac
Publisher:
Cengage Learning