1. The balance sheet at December 31,2019 of Delta Corporation showed a cash balance of P183,500. An examination of the books disclosed the following:

Cash sales of P24,000 from January 1 to 5, 2020 were pre dated as of December 28 to 31, 2019 and charged to the cash account. Customers' checks totaling P9,000 deposited with and returned by the bank "NSF" on December 27, 2019 were not recorded in the books. Checks of P11,200 in payment of liabilities were prepared before December 31,2019 and recorded in the books, but withheld by the treasurer. Post-dated checks totaling P6,800 are being held by the cashier as part of cash. The company's experiences shows that post-dated checks are eventually realized. The cash account includes P40,000 being reserved for the purchase of an IPAD which will be delivered soon. The cash balance that should be shown on December 31, 2019 balance sheet is ________.

a)P 114,900

b)P163,900

c)P 92,500

d)P 154,900

2.Narcing Company had the following account balance on December 31, 2019.

Petty cash fund 50,000

Cash in bank - current account 4,000,000

Cash in bank - payroll account 1,000,000

Cash on hand 500,000

Cash in bank -

restricted account for plant additions,

expected to be disbursed in 2020 500,000

Cash in sinking fund set aside for 1,500,000

bond payable due June 30, 2020

Commercial papers 2,000,000

The petty cash includes unreplenished December 2019 petty cash expense vouchers of P5,000 and employee IOUs of P5,000. The cash on hand includes a P100,000 check payable to Narcing dated January 15, 2020. In exchange for guaranteed line of credit,Narcing has agreed to maintain a minimum balance of P200,000 in its unrestricted current bank account. What should be reported as cash and cash equivalents on December 31, 2019?

a)P 8,940,000

b)P 9,440,000

c)P 7,940,000

d)P 8,740,000

3.Mickey Company's checkbook balance on December 31,2019 was P5,000,000. In addition, Mickey held the following items in its safe on that date:

Check payable to Mickey, dated January 2,2020 in payment of sale made in

December 31,2019, not included in December 31 checkbook balance 2,000,000

Check payable to Mickey, deposited December 15 and included in

December 31 checkbook balance; the check marked "NSF" by the bank.

The check was redeposited on January 2,2020 and cleared on Jan. 9, 2020 600,000

Check drawn on Mickey's account, payable to a vendor,

dated and recorded in Mickey's books on December 31 but

not mailed until January 10,2020 300,000

The proper amount to be shown as "cash" on the balance sheet at December 31,2019 is_________

a)4,700,000

b)5,200,000

c)6,500,000

d)6,800,000

4. The following data pertain to Convrge Company onDecember 31, 2019:

Current account at Metrobank P1,800,000

Current account at Allied Bank (100,000 )

Payroll account 500,000

Foreign bank account ( in equivalent pesos) 800,000

Savings deposit in a closed bank 150,000

Postage stamps 1,000

Employee's post dated checks 4,000

IOU from employees 10,000

Debit memo from a vendor for a purchase return 20,000

Traveler's check 50,000

Money order 30,000

Petty cash fund (P4,000 in currency and

expense receipts for P6,000) 10,000

Pension fund 2,000,000

DAIF check of customer 15,000

Customers check dated 1/1/20 80,000

Time deposit - 30 days 200,000

Money market placement (due 6/30/20) 500,000

Treasury bills, due 3/31/20 (purchased 12/31/19) 200,000

Treasury bills, due 1/31/20 (purchased 1/1/19) 300,000

Uncashed tax refund check 550,000

Commercial paper maturing in four months 1,200,000

Employee travel advance 75,000

Compute the cash and cash equivalents that should be reported on the December 31, 2019

balance sheet. ___________

NOTE: SHOW YOUR SOLUTION