Fundamentals Of Financial Accounting
6th Edition
ISBN: 9781259864230
Author: PHILLIPS, Fred, Libby, Robert, Patricia A.
Publisher: Mcgraw-hill Education,
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Chapter 5, Problem 7E
Reporting Cash, Cash Equivalents, and Restricted Cash
Expedia, Inc., reported total cash of $1,862 million at September 30, 2016. Of this amount, $18 million was set aside and could be used only to fulfill the requirement of an aviation authority of a certain foreign country to protect against the potential nondelivery of travel services in that country in the short term. Another $542 million was invested in
TIP: Some items are not current assets.
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Indie Company had the following account balances at December 31, 2021:
Cash in Metrobank (includes P300,000 of compensating balance against short term borrowing arrangements. The compensating balance is not legally restricted as to withdrawal by Indie Company) - P1,875,000
Cash in BPI - P180,000Cash on hand (includes a customers check for P15,000 dated January 5, 2022) - P125,000
Cash restricted for acquisition of machinery (expected to be disbursed in 2022) - P1,600,000
How much is the total cash reported in the current asset section of Indie Company's December 31, 2021 statement of financial position?
Jayce Co. reported Cash and Cash Equivalents worth $5,800,000 on December 31, 2020. When the entity's financial statements were being prepared, the following information were taken into consideration with regard to its cash and cash equivalents:
a. A check from a customer amounting to $65,000 was dated December 28, 2020. It was included in the entity's account, but it was not signed by the payee.
b. A check written to a supplier having a face value of $140,000 dated May 15, 2020 was not presented to the bank by the end of the year.
c. An electronic fund transfer of $300,000 was not reflected in the entity's books as of December 31, 2020.
d. Cash receipts amounting to $200,000 which were dated January 2021 were included in Kisses' December 2020 books.
e. Cash disbursements made at the last week of December totaling $350,000 were recorded in the January 2021 books.
f. Chicago Trust Bank account of $5,800,000 is a foreign-currency denominated account, translated to Dollars using the…
Louis Company had the following account balances at December 31, 2021:
Cash in Metrobank 1,875,000
Cash in BPI 200,000
Cash on hand (includes a customer's check for P15,000 dated January 5, 2022 125,000
Cash restricted for acquisition of machinery (expected to be disbursed in 2022) 1,600,000
Cash in Metrobank include P300,000 of compensating balance against short-term borrowing arrangements. The compensating balance is not legally restricted as to withdrawal by Louis.
Question: In the current asset section of Louis' December 31, 2021 statement of financial position, total cash should be reported at
a. P2,185,000b. P1,885,000c. P3,785,000d. P3,485,000
Chapter 5 Solutions
Fundamentals Of Financial Accounting
Ch. 5 - Prob. 1QCh. 5 - Prob. 2QCh. 5 - Prob. 3QCh. 5 - Prob. 4QCh. 5 - Prob. 5QCh. 5 - What aspect(s) of the Sarbanes-Oxley Act might...Ch. 5 - Prob. 7QCh. 5 - What are the five components of an internal...Ch. 5 - Prob. 9QCh. 5 - Why is it a good idea to assign each task to only...
Ch. 5 - Prob. 11QCh. 5 - Prob. 12QCh. 5 - Prob. 13QCh. 5 - Prob. 14QCh. 5 - Prob. 15QCh. 5 - Prob. 16QCh. 5 - What is the primary internal control goal for cash...Ch. 5 - Prob. 18QCh. 5 - Prob. 19QCh. 5 - Prob. 20QCh. 5 - Prob. 21QCh. 5 - Prob. 22QCh. 5 - Prob. 23QCh. 5 - Prob. 24QCh. 5 - Prob. 1MCCh. 5 - Prob. 2MCCh. 5 - Prob. 3MCCh. 5 - Prob. 4MCCh. 5 - Which of the following internal control principles...Ch. 5 - Prob. 6MCCh. 5 - Prob. 7MCCh. 5 - Prob. 8MCCh. 5 - Prob. 9MCCh. 5 - Prob. 10MCCh. 5 - Prob. 1MECh. 5 - Prob. 2MECh. 5 - Prob. 3MECh. 5 - Prob. 4MECh. 5 - Prob. 5MECh. 5 - Prob. 6MECh. 5 - Prob. 7MECh. 5 - Prob. 8MECh. 5 - Prob. 9MECh. 5 - Prob. 10MECh. 5 - Prob. 11MECh. 5 - Prob. 12MECh. 5 - Prob. 13MECh. 5 - Prob. 14MECh. 5 - Prob. 15MECh. 5 - Prob. 16MECh. 5 - Identifying Internal Control Principle and...Ch. 5 - Prob. 2ECh. 5 - Prob. 3ECh. 5 - Prob. 4ECh. 5 - Prob. 5ECh. 5 - Prob. 6ECh. 5 - Reporting Cash, Cash Equivalents, and Restricted...Ch. 5 - Prob. 8ECh. 5 - Prob. 9ECh. 5 - Prob. 10ECh. 5 - Prob. 1CPCh. 5 - Prob. 2CPCh. 5 - Prob. 3CPCh. 5 - Prob. 4CPCh. 5 - Prob. 1PACh. 5 - Prob. 2PACh. 5 - Prob. 3PACh. 5 - Prob. 4PACh. 5 - Prob. 1PBCh. 5 - Prob. 2PBCh. 5 - Prob. 3PBCh. 5 - Prob. 4PBCh. 5 - Recording Transactions and Adjustments,...Ch. 5 - Finding Financial Information Refer to the...Ch. 5 - Comparing Financial Information Refer to the...Ch. 5 - Ethical Decision Making: A Real-Life Example When...Ch. 5 - Ethical Decision Making: A Mini-Case You are an...Ch. 5 - Accounting for Cash Receipts, Purchases, and Cash...
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