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You are auditing the cash account of Carrera Inc. for the fiscal year ended July 31, 2018. The client has not prepared the July 31,

You are auditing the cash account of Carrera Inc. for the fiscal year ended July 31, 2018. The client has not prepared the July 31, bank reconciliation. The following information were made available:

General Ledger

Bank Statement

Beginning balances

P140,330

P172,590

Deposits

751,680

Cash receipts journal

763,680

Checks clearing the bank

(708,450)

Cash disbursements journal

(654,330)

July bank service charge

(2,610)

Note paid by the bank

(183,000)

NSF check

(9,330)

Ending balances

P249,680

P20,880

Audit notes:

  • Bank reconciliation in June included the following information: Bank statement balance, June, P172,590; Deposits in transit, P18,000; Outstanding checks, P52,260, and; Balance per general ledger, June, P140,330.
  • Checks clearing the bank in July, outstanding by the end of June was at P50,760.
  • Checks clearing the bank in July and were recorded in the July cash disbursement journal was at P614,010.
  • A check for P31,800 cleared the bank, but had not been recorded in the cash disbursement journal. It was for a payment of an accounts payable.
  • A check for P11,880 was erroneously charged by the bank to Carrera Inc.
  • Deposits included P18,000 from June and P733,680 from July.
  • The bank charged Carrera Inc.'s account for a non-sufficient-fund check totaling to P9,330. The credit manager concluded that the customer intentionally closed its account and the owner left the city. The check was turned over to a collection agency.
  • A note for P174,000, plus interest, was paid directly by the bank under an agreement signed four months ago. The note payable was recorded at P174,000 on Carrera Inc.'s books.

How much is the total outstanding checks as of July 31?

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