1.Tranvia Company revealed the following information on December 31, 2020:

Cash in checking account

350,000

Cash in money market account (debt instruments)

750,000

Treasury bill, purchased last November 1, 2020 maturing on January 31, 2021

3,500,000

Time deposit purchased last December 1, 2020 maturing on March 31, 2021

4,000,000

What amount should be reported as cash and cash equivalents on December 31, 2020?

A. 1,100,000

B. 3,850,000

C. 4,600,000

D. 8,600,000

2.Affable Company provided the following information at year-end comprising the cash account:

Cash in bank - demand deposit

5,000,000

Cash on hand

400,000

Postage stamps unused

5,000

Certificate of time deposit

1,500,000

Money order

50,000

Manager check

100,000

Traveler check

1,000,000

Postdated customer check

500,000

What total amount should be reported as cash at year-end?

A. 8,050,000

B. 7,050,000

C. 6,550,000

D.6,450,000