Question 4

On Nov. 1, 2018, Zee Lou Portraits paid P36,000 to renew its insurance policy for 3 years. What amounts should be reported as prepaid insurance in Zee Lous Dec. 31, 2019 financial statements?

A.P23, 000

C. P35, 000

Question 9

XYZ Companys accounting records on Jan.31,2020 shows the following:

Accounts receivable P250, 000

Allow. for Bad Debts 24, 000

On the same date the company wrote off an accounts receivable of P6, 000. How much is the net realizable value of XYZs accounts receivable?

1. 226,000
2. 232,000

Question 10

COVID Corporation financial record contains the following items :

_{Post-dated checks from customers (30 days)} 120,000 Cash under Cashiers custody awaiting deposits 55,500

Petty cash fund 5,000 Post-dated check to suppliers 79,500

Change fund 7,500 Dividend fund 15,000

Savings account- BDO 195,000 NSF Checks issued by customers 5,000

Current account- BPI 135,000 Savings account-BPI (10,000 Comp. Bal.-Restricted for 2 years) 110,000

The total CASH ON HAND is

1. 63,000
2. 55,500