8. On December 31, 2020, First Company had the following cash balances:

Cash in banks P1,800,000

Petty cash funds (all funds were reimbursed on 12/31/20) 50,000

Cash in banks included P600,000 in a separate bank where-in the company is required to maintain a minimum

average of P800,000 of 10 workings on a rolling basis.

In the current assets section of First's December 31, 2020 statement of financial position, what total amount

should be shown as cash?

a. P1,200,000

c. P1,800,000

b. P1,250,000

d. P1,850,000

9. PCU Corporation's checkbook balance on December 31, 2020 was P160,000. On the same date, PCU held the

following items in its safe:

A P5,000 check payable to PCU, dated January 2, 2021 , was not included in the December 31 checkbook balance.

A P3,500 check payable to PCU which was deposited December 19 and included in the December 31 checkbook

balance, was returned by the bank on December 30 marked NSF. The check was re-deposited on January 2, 2021

and cleared on January 9.

A P25,000 check payable to a supplier and drawn on PCU's account, was dated and recorded on December 31,

but was not mailed until January 19, 2021.

In its December 31, 2020 statement of financial position, how much should PCU report as cash?

a. P156,600

c. P181,500

b. P161,500

d. P185,000

10. Volume Company had the following cash balance at December 31, 2020:

Undeposited coins and currency P 35,000

Unrestricted demand deposits 1,450,000

Company checks written (and deducted from the demand

deposits amount) but not scheduled to be mailed until

January 2 270,000

Time deposits restricted for use (expected use in 2021) 3,000,000

In exchange for a guaranteed line of credit, Volume has agreed to maintain a minimum balance of

P150,000 in its unrestricted demand deposits account.

How much should Volume report as "Cash" in its December 31, 2020 statement of financial position?

a. P1,755,000

c. P3,305,000

b. P3,270,000

d. P4,755,000