Reporting Cash on the Balance Sheet
Your audit of Watt Corporation discovers the following information:

Reconciled balance in First National Bank checking account	$ 3,525.80
Reconciled balance in City National Bank checking account	(40.20)
Balance in First Federal savings account	34,291.00
Certificate of deposit	30,000.00
Employee’s IOU	125.00
Employees’ travel advances	1,640.00
Cash on hand (undeposited sales receipts)	1,232.10
Prepaid debit card	600.00
Customer’s postdated check	290.40

Required:

1. What amount should be reported as cash on Watt's balance sheet? (Place the necessary items in the same order as they are provided in the information.) Round your answer to nearest cent, if required.

Watt's Corporation
Cash Balance Report
	$
Cash balance reported on balance sheet	$

2. Describe the balance sheet treatment of the items not included in the cash balance..

		Classification
Reconciled balance in First National Bank checking account
Reconciled balance in City National Bank checking account
Balance in First Federal savings account
Certificate of deposit
Employee's IOU
Employees' travel advances
Cash on hand (undeposited sales receipts
Prepaid debit card
Customer's postdated check