Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

I need help on these PROBLEM 1: TRUE OR FALSE 1. Money, whether restricted or not, is presented as cash. TRUE 2. Postdated checks received

I need help on these
image text in transcribed
PROBLEM 1: TRUE OR FALSE 1. Money, whether restricted or not, is presented as cash. TRUE 2. Postdated checks received from customers are reverted from cash back to receivable. FALSE zeluded 3. An investment in debt securities that is acquired 3 months or less before maturity date is presented as cash equivalent. TRUE 4. Checks drawn that are postdated should be reverted back to cash even if the checks are already delivered to the payees. FALSE 5. Entity A acquired debt securities 2 years ago. At the reporting date, the debt securities have a remaining term of 2 months. Entity A can present the debt securities as cash equivalents. 6. Compensating balances that are legally restricted as to withdrawal by the borrower are excluded from cash. TRUE 7. For best internal control, the duties of cash custody, cash disbursements authorization and cash recording should be delegated to one and same personnel. FALSE 8. The "Petty Cash Fund" account is credited each time a petty cash disbursement is made. TRUE 9. An entity's petty cash fund (PCF) has an imprest balance of P100. At the end of the period, the PCF consists of P20 coins and currencies. To replenish the PCF, the entity should write a check amounting to P80. 10. An entity's PCF has an imprest balance of P100. At the end of the period, the PCF includes P30 unreplenished disbursements. The amount of PCF to be reported in the financial statements is P70

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Alaskas Permanent Fund Dividend Examining Its Suitability As A Model

Authors: K. Widerquist, M. Howard

2nd Edition

0230112072, 9780230112070

More Books

Students also viewed these Accounting questions