On December 31, 2019, Summer Company had the following cash balances: Cash in bank -current account 1,800,000 Petty cash fund - all funds were reimbursed at year-end 50,000 Time deposit due February 1, 2020 250,000 Time deposit in bank closed by BSP 1,000,000 Cash in bank included P600,000 of compensating balance against short-term borrowing arrangement on December 31, 2019. The compensating balance is legally restricted as to withdrawal.

On December 31, 2019, what total amount should be reported as cash ? *

10 points

Your answer

On December 31, 2019, what total amount should be reported as cash equivalents? *