The balance in Viray Company's accounts payable account at December 31, 2021 was P900,000, before any necessary year-end adjustment relating to the following: a. Goods in transit from a vendor to Viray on December 31, 2021. The invoice cost was P50,000, and the goods were shipped FOB Shipping point on December 29, 2021. The goods were received on January 4, 2022. b. Goods shipped FOB shipping point on December 20, 2021 from a vendor to Viray was lost in transit. The invoice cost was P25,000. On January 5, 2022, Viray filed a P25,000 claim against the common carrier. c. On December 31, 2021, Viray has a P20,000 debit balance in accounts payable to a supplier resulting from an advance payment for goods to be manufactured. What amount should be reported as accounts payable on its December 31, 2021 financial statement?

The balance in Viray Company's accounts payable account at December 31, 2021 was P900,000, before any necessary year-end adjustment relating to the following: a. Goods in transit from a vendor to Viray on December 31, 2021. The invoice cost was P50,000, and the goods were shipped FOB Shipping point on December 29, 2021. The goods were received on January 4, 2022. b. Goods shipped FOB shipping point on December 20, 2021 from a vendor to Viray was lost in transit. The invoice cost was P25,000. On January 5, 2022, Viray filed a P25,000 claim against the common carrier. c. On December 31, 2021, Viray has a P20,000 debit balance in accounts payable to a supplier resulting from an advance payment for goods to be manufactured. What amount should be reported as accounts payable on its December 31, 2021 financial statement?

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

Chapter9: Current Liabilities And Contingent Obligations

Section: Chapter Questions

Problem 1MC: The balance in Ashwood Companys accounts payable account at December 31, 2019, was 1,200,000 before...

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