ACTIVITY FOR INTERMEDIATE ACCOUNTING: DUE DATE FEB.

1, 2021

Answer: C

Solution:

Cash in checking account 350,000

Cash in money market account 750,000

Treasury bill purchased Nov. 1, 2019 maturing Jan 31, 2020 3,500,000

Total Cash and Cash equivalents P4,600,00

Problem 1-12 Answer: A

Checkbook balance P4,000,000

Undelivered check drawn on Thor’s account 500,000

Adjusted cash balance P4,500,000

Problem 1-14 ANSWER: B

CASH IN BANK 6,000,000 -400,000 = 5,600,000

PETTY CASH FUND 50,000
TIME DEPOSIT 2,500,000
SAVING DEPOSIT 1,000,000
TOTAL CASH AND CASH EQUIVALENTS 9,150,000
Problem 1-17

1. Cash - 3,400,000 (A)

2. Cash equivalents = investment securities 2,000,000
Money market placement 1,500,000
Total 3,500,000 (A)