Logistics Company had the following items listed in its trial balance at 12/31/2016:

Balance in checking account, Bank of the East	$442,000
Treasury bills, purchased on 11/1/2016 mature on 1/30/2017	20,000
Loan payable, long-term, Bank of the East	300,000

Included in the checking account balance is $50,000 of restricted cash that Bank of the East requires as a compensating balance for the $300,000 note. What amount will Logistics include in its year-end balance sheet as cash and cash equivalents?

$412,000.

$462,000.

$392,000.

$442,000.

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Wilson Company had the following cash balance items listed in its trial balance at 12/31/2016:

Peterson Savings and Loan:	$50,000
Right Bank:	( 5,000)
Clinton County Trust Bank:	10,000

If Wilson reports under IFRS, its 12/31/2016 balance sheet would show what cash balance?

($5,000).

$55,000.

$60,000.

None of these answer choices are correct.

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On November 10 of the current year, Flores Mills sold carpet to a customer for $8,000 with credit terms 2/10, n/30. Flores uses the gross method of accounting for cash discounts. What is the correct entry for Flores on November 17, assuming the correct payment was received on that date?

Cash	7,840
Accounts receivable		7,840

Cash	7,840
Sales discounts	160
Accounts receivable		8,000

Cash	7,840
Sales	160
Accounts receivable		8,000

Cash	8,000
Sales discounts	160
Accounts receivable		8,000
Sales		160

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On November 10 of the current year, Cherokee Industries sold materials to a customer for $8,000 with credit terms 2/10, n/30. Cherokee uses the net method of accounting for cash discounts. What entry would Cherokee make on November 10?

Accounts receivable	7,840
Sales		7,840

Accounts receivable	8,000
Sales		8,000

Accounts receivable	7,840
Cash discounts	160
Sales		8,000

Accounts receivable	8,000
Cash discounts		160
Sales		7,840

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