CASH PROBLEMS:

1. If the month-end bank statement shows a balance of P720,000, outstanding

checks are P240,000, a deposit of P80,000 was in transit at month end, and a check
for P10,000 was erroneously charged by the bank against the account, the correct
balance in the bank account at month end is
a. P550,000. b.P570,000. c.P410,000. d.P870,000.

2. In preparing its bank reconciliation for the month of April 2016, Ardith Inc. has
available the following information.
Balance per bank statement, 4/30/16 P782,800
NSF check returned with 4/30/16 bank statement 9,000
Deposits in transit, 4/30/16 100,000
Outstanding checks, 4/30/16 104,000
Bank service charges for April 400
What should be the correct balance of cash at April 30, 2016?
a. P787,400 b.P778,800 c.P769,800 d.P769,400

3. Mandy Company reported the following on December 31, 2016: cash in bank-
demand deposit, P6,750, cash on petty cash fund, P250; customer’s DAUD check,
P1,750; and a 6-month time deposit, P62,000. How much cash should Mandy report
in its December 31, 2016 statement of financial position.
a. P6,750 b. P7,000 c. P68,750 d. P69,000

4. In preparing its June 2016 bank reconciliation, Andy Company determined the
balance of its general ledger checking account to be P5,500. On the other hand
the bank statement showed an amount, that was P460 over. However, Andy noted
that some P800 worth of deposits in late May did not yet appear in the statement
and there were outstanding checks amounting to P1,360. Also, the bank
statements showed disbursement of P240 but Andy’s accountant incorrectly
recorded the check as P440. Bank charges in June totaled P300. How much is the
adjusted cash?
a. P4,540 b. P4,940 c. P5,100 d. P5,400
Items 5 and 6 are based on the following information:
The following information were made available from the cash record of Brandy
Company and its bank statement for the month of December 2016:
Book receipts P4,462,500
Bank receipts 4,830,000
November 30 deposits in transit (of which
P30,000 remained to be outstanding
as of December 31, 2016) 650,000
Erroneous bank credit for December 25,000
Erroneous book credit for November,
corrected in December 50,000
Erroneous bank debit in November,
corrected in December 12,500
Credit memo in December not yet
recorded by Brandy 300,000
Credit memo for November,
recorded by Brandy in December 375,000
Customer’s check received and deposited
but posted as disbursement by Brandy 150,000

What is the total amount of deposit in transit on December 31, 2016

a. P245,000 b. P295,000 c. P345,000 d. P375,000

What is the correct receipt for December ?

a. P4,237,500 b. P4,2875,00 c. P4,337,500 d. P4,487,500

Solution:
6D
4462500
(50 000)
300000
(375000)
150000 = 4 487 500
5C
Cleared in the bank =
4 830 000
(25 000)
(12 500) = 4 792 500
So:
Beg DIT 650 000
+ 4 487 500
- 4 792 500
= 345 000
7. Lindsay Company shows the following account balances in their financial records
as of December 31, 2016:
Checking account at Metrobank, (P20,000); checking account at Land Bank
P500,000; payroll account PNB, P100,000; foreign bank account restricted,
P750,000; postage stamps, P22,000; employees’ postdated checks, P30,000; IOU
from president’s brother, P75,000; traveler’s check, P50,000; non-sufficient funds
check, P18,000; petty cash fund (P16,000 in currency and expenses receipts for
P84,000), P100,000 and cashier’s check, P36,000.

What is the correct cash balance to be reported in the balance sheet of Lindsay
company on December 31, 2016?
a. P704,000 b. P702,000 c. P686,000 d. P582,000

8. On December 31, 2016, Finley Company had the following cash balances:
Cash in banks P1,800,000
Petty cash fund (all funds were reimbursed
on Dec 31, 2016) 50,000

Cash in banks included P600,000 in a separate bank where-in the company is

required to maintain a minimum average of P800,000 of 10 working days on a
rolling basis.
In the current asset section of Finley’s December 31, 2016 statement of
financial position, what total amount should be shown as cash?
a. P1,850,000 b. P1,800,000 c. P1,250,000 d. P1,200,000

9. In your audit of Givenchy Company as of December 31, 2016, you gathered the
following: Balance per book, P600,000; Bank charges, P1,500; Balance per bank
statement, P605,000; Deposit in transit, PP180,000; Customer note collected by
bank, P225,000; Interest on customer note, P9,000; Customer check returned NSF,
P37,500; Debit memo to charge company’s account, P150,000. What is the total
amount of outstanding checks?
a. P165,000 b. P160,000 c. P150,000 d. P140,000
Solution:
600 000
225 000
9 000
(37 500)
(150 000)
(1 500) = 645 000 recon balance
605 000
180 000
140 000 SQUEEZE
= 645 000 recon balance
10. McKinley Company had the following account balances at December 31, 2016:
Cash on hand and in bank P5,000,000
Cash restricted for bond payable
due on June 30, 2018 2,000,000
Time deposit (3 months) 6,000,000
Savings deposit set aside for dividends
payable on Jan. 15, 2017 1,000,000
In the current asset section of McKinley's December 31, 2016 balance sheet,
what total amount should be reported as cash and cash equivalents?
a.P14,000,000 b. P13,000,000 c. P12,000,000 d. P11,000,000

11. Assume the following facts for Amerith Co. The month-end bank statement
shows a balance of P800,000; outstanding checks total P40,000; a deposit of
P160,000 is in transit at month-end; and a check for P8,000 was erroneously
charged against the account by the bank. What is the correct cash balance at the
end of the month?
a. P672,000 b. P688,000 c. P912,000 d. P928,000

12. The following information is available for the Jolly Company on March 31, 2016.
Bank statement balance, March 31 P146,570
Note collected by bank including interest of P2,500,
not yet taken up in the books 62,500
NSF check returned with the bank statement 21,260
Outstanding checks as of March 31 68,470
Bank service charges for March 1,205

What is the correct cash balance at March 31?

a. P38,145 b. P78,100 c. P118,055 d. P254,995

13. The cash account in the ledger of Apex Company showed a balance as of June
30, 2016 consist of the following:
Cash in Far East Bank (a check of P5,000
is still outstanding per bank statement) P 105,000
Bond sinking fund 50,000
IOUs signed by employees 5,000
Paid vouchers 3,000
Petty cash fund 2,000
Undeposited receipts, including a postdated
check of P5,000 85,000
P250,000
The amount of cash on hand and in bank that should be reported on the company’s
balance sheet is:
a. P197,000 b.P192,000 c. P187,000 d. P182,000

14. Elgin Corporation’s records reveal the following at year-end:

Commercial paper maturing in four months P1,200,000
Uncashed tax refund check 550,000
Petty cash 100,000
Certificates of deposit (6 months) 1,000,000
Balance in Union Bank savings account 2,500,000
Postage 50,000
Balance in Metrobank current account ( 250,000)
Treasury notes maturing in six months 2,200,000
Cash on hand 500,000
Postdated customer checks 125,000
Employee travel advances 75,000
Treasury bill maturing in one month 2,500,000

What is the correct amount of cash and cash equivalents that will appear as a
current asset on Elgin Corporation’s statement of financial position?
a. P5,900,000 b. P6,150,000 c. P6,900,000 d. P7,150,000

15. The following information was included in the bank reconciliation for Yummy Co.
for July.
Checks and charges recorded by bank in July (including a July service charge
of P10,000)P986,000; Service charge made by bank in June and recorded by books
in July, P12,000; Total credits to cash in all journal in July, P977,600; Customer’s
NSF check charge in July (no entry was made in the books), P60,000; Customer’s
NSF check returned in June recorded by the company in July, P75,000; Outstanding
checks in July 31, P200,000; checks issued in July for P20,000 recorded by the
company as P2,000; Erroneous bank charge in July P20,000; Erroneous bank credit
in June recorded in July, P30,000; Erroneous book receipt in June corrected in July
P5,000.
What is the correct disbursement for the month of July?
a. P995,600 b. P973,600 c. P964,600 d. P949,600
SOLUTION:
Total Disbursement in BOOKS
977,600
10,000
(12,000)
60,000
(75,000)
18,000
(5,000) kinorrect ng july so in-add sa disbursements, eh mali yun kasi pang June yon so
deduct it
973, 600

16. You gathered the following information about TOK Corporation’s account with
HangBank as of December 31, 2016.
Unadjusted bank balance, P678,200; Deposit in transit P225,000; Outstanding
Check P118,000; Unadjusted book balance, P700,000; Bank service charge P800;
Proceeds of bank loan P100,000; Debit memo for customer’s returned check
P14,000
How much is the adjusted balance?
a. P1,021,200 b. P785,200 c. P554,400 d. no correct answer given
17. When a company’s bookkeeper started to prepare the monthly bank
reconciliation, the cash account showed a balance of P528,600. At the end of the
month, the following information was available from the company records and the
monthly bank statement:
Customer NSF checks on the bank statement P40,800
Bank service charges listed on the bank statement 2,400
Checks outstanding at the end of the month,
determined by the bookkeeper 178,000
A deposit of P45,000 was recorded incorrectly
on the bank statement as 54,000
The company wrote a check for P1,700 but recorded
it in the cash book as 7,100

What is the correct cash balance?

a. P490,800 b. P480,000 c. P341,600 d.P303,800

18. . Pines, Inc.’s checkbook balance on December 31, 2015 was P21,200. In
addition, Pines held the following items in its safe on December 31.
(1)A check for P450 from Peters, Inc. received December 30, 2015, which was not
included in the checkbook balance.
(2)An NSF check from Garner Company in the amount of P900 that had been
deposited at the bank, but was returned for lack of sufficient funds on December 29.
The check was to be redeposited on January 3, 2016. The original deposit has been
included in the December 31 checkbook balance.
(3)Coin and currency on hand amounted to P1,450.
The proper amount to be reported on Pines’s statement of financial position for cash
at December 31, 2015 is
a.P21,300 b. P21,300 c. P22,200. d. P21,750.

19. Pink, Inc. had the following bank reconciliation at March 31, 2015:
Balance per bank statement, 3/31/15 P37,200
Add: Deposit in transit 10,300
47,500
Less: Outstanding checks 12,600
Balance per books, 3/31/15 P34,900
Data per bank for the month of April 2015 follow:
Deposits P46,700
Disbursements 49,700

All reconciling items at March 31, 2015 cleared the bank in April. Outstanding
checks at April 30, 2015 totaled P6,000. There were no deposits in transit at April
30, 2015. What is the cash balance per books at April 30, 2015?
a. P28,200 b. P31,900 c. P34,200 d. P38,500

20. Amore Company established a petty cash fund of P6,000. On December 31,
2016, the petty cash fund was examined and found to consists of the following:
Bills and coins-------P 250
Paid vouchers for the following:
Miscellaneous expenses –P 3,260; and employee IOU-P2,000
Assuming that no replenishment was made at year end, what entry would be
required to record adjustment of the petty cash fund on December 31, 2016?

a. Miscellaneous expense 3,260

Receivable from employee 2,000
Cash short and over 490
Cash in bank 5750

b. Miscellaneous expense 3,260

Receivable from 2,000
employee
Cash short and over 490
Petty cash fund 5750

c. Miscellaneous expense 3,260

Receivable from employee 2,000
Petty cash fund 5,260

d. Miscellaneous expense 3,260

Receivable from employee 2,000
Cash in bank 5,260
21. The general ledger of cash in Bank account of Alta Corporation at August 31,
2016 showed cash receipts and cash disbursements of P321,000 and P265,000,
respectively. The bank statement for the same month showed deposits of P317,000
credited by bank to the company’s account and checks of P326,000 were cleared
during August. The July 31,2016 bank statement showed undeposited collection of
P75,000 and outstanding checks of P125,800. How much is the undeposited
collection at August 31, 2016?
a. P62,500 b. 79,000 c. P114,000 d. P127,500

22. On December 31, 2017, Swaziland Company’s “cash” account balance per
ledger of P7,200,000 includes:
Demand deposit, P3,000,000; Certificates of deposit-30 days, P2,000,000; NSF
check of customer, P40,000, Money market placement (due date June 30, 2018),
P1,000,000; Savings deposit in closed bank, P100,000; IOU from employee,
P60,000; Pension fund, P800,000; Petty cash fund, P20,000;; Customer’s check
dated January 31, 2018, P120,000, Customer’s check outstanding for 18 months,
P60,000.
Additional information
-Check of P200,000 in payment of accounts payable was recorded on December 31,
2017 and mailed to creditors on January 31, 2018.
-Check of P100,000 dated January 31, 2018 in payment of accounts payable was
recorded and mailed on December 31, 2017.
-The company uses calendar year. The cash receipts journal was held open until
January 15, 2018, during which time, P400,000 was collected but not recorded on
December 31, 2017.
How much “cash and cash equivalents” should be shown on the December 31, 2017
balance sheet?
a. P3,920,000 b. P4,100,000 c. P4,920,000 d. P5,320,000

23. Netherland Company has supplied you with the following list of its bank
accounts and cash at December 31, 2017:
Checking account (compensating balance
of P30,000 restricted as to withrawal) P 192,000
Saving account 120,000
Certificate of deposit, 6 months, 10%
due April 30, 2018 160,000
Money market (30-day certificate, current rate 10%) 240,000
Payroll account 80,000

Certificate of deposit, 3 months, 10% due

February 10, 2018 300,000
Petty cash fund 6,000
Total P1,098,000

What should be the balance to be reported as “Cash and Cash Equivalents” in the
December 31, 2017 balance sheet of Netherland Company?
a. P828,000 b. P908,000 c. P938,000 d. P1,098,000

24. The balance sheet of Ireland Company as of December 31, 2017 showed the
cash amount of P873,000. It was found to include the following items:
Postal money orders from customers, P32,000; Notes receivable in the
possession of a collecting agency, P24,000; Receipts for expenses advanced for
the account of certain suppliers, P16,000; Customers’ postdated checks, P15,000;
Customers’ checks returned by the bank marked NSF, P18,000; Currencies and
coins on hand, P6,000; Traveler’s check, P5,000; Checks in payment of accounts,
still in the safe of the cashier, awaiting instructions of the delivery to payees,
P60,000; Petty cash fund (P1,600 in currency and P8,400 in expense receipts),
P10,000
The correct cash balance for the balance sheet is:
a. P825,000 b. P816,600 c. P791,600 d. P783,600

25. On December 31, 2017, Finland Company had the following cash balances:
Cash in bank P3,600,000
Petty cash fund (all funds were reimbursed
on 12/31/17) 100,000

Cash in bank includes P1,200,000 of compensating balances against short-term

borrowing arrangements at December 31, 2017. The compensating balances are
not legally restricted as to withdrawal by Finland. In the current asset section of
Finland’s December 31, 2017, balance sheet, what total amount should be reported
as cash?
a. P2,400,000 b. P2,500,000 c. P3.600,000 d.P3.700,000
26. In August 31 bank statement of Poland Inc. showed a balance of P113,000.
Deducted in arriving at this amount was customer’s NSF check for P2,400 that had
been returned and recorded by the company. Poland had received prior notice
concerning this check, and had been deducted from the book. In addition to the
bank statement, other records showed there were deposits in transit totaling
P17,200 and that outstanding checks totaled P10,800. What is the cash balance per
books at August 31.
a. P115,400 b. P117,000 c. P119,400 d. P121,800

27. Luxemburg Company shows the following account balances in their financial
records as of December 31, 2017:
Checking account at Metrobank P1,000,000
Checking account at Chinabank ( 40,000)
Payroll account-BDO 200,000
Foreign bank account-restricted 1,500,000
Postage stamps 44,000
IOU from employees 150,000
Employees’ postdated checks 60,000
Traveler’s check 100,000

DAIF checks 36,000

Cashier’s check 72,000
Petty cash fund (P168,000 in currency and expenses
receipts for P32,000) 200,000

What is the correct cash balance to be reported in the statement of financial

position of Luxemburg Company on December 31, 2017?
a. P1,164,000 b. P1,372,000 c. P1,404,000 d. P1,540,000
28. What is the correct cash balance to be reported in the statement of financial
position of Luxemburg Company on December 31, 2017 assuming the bank
overdraft is repayable on demand and it’s integral to the entity’s cash
management?
a.P1,364,000 b. P1,372,000 c. P1,404,000 d. P1,500,000

29. The company had the following reconciliation on June 30, 2017:
Balance per bank statement, June 30 P5,000,000
Add: Deposit in transit 500,000
Total P5,500,000
Less: Outstanding checks 200,000
Balance per books, June 30 P5,300,000

The bank statement for the month of July 2017 showed the following:
Deposits (including P400,000 note collected
for the company) P15,000,000
Disbursements (including P500,000 NSF check and
P50,000 service charge) P13,000,000

All reconciling items on June 30 2017 cleared through the bank in July. The
outstanding checks totaled P800,000 and the deposits in transit amounted to
P1,000,000 on July 31,2017. What is the cash balance per book on July 31, 2017?
a. P7,000,000 b. P7,050,000 c. P7,200,000 d. P7,350,000

30. Using the information in no. 29 above, what is the amount of cash receipts per
book in July 2017?
a. P14,600,000 b. P15,100,000 c. P15,500,000 d.P16,000,000

31. Using the information in no. 29 above, what is the amount of cash
disbursements per books in July 2017?
a. P12,450,000 b. P13,050,000 c. P13,600,000 d.P13,800,000

32. Paris , Inc.’s checkbook balance on December 31, 2017 was P212,000. In
addition, Paris held the following items in its safe on December 31.
(1) A check for P4,500 from Penn, Inc. received December 30, 2017, which
was not included in the checkbook balance.
(2) An NSF check from France Company in the amount of P9,000 that had
been deposited at the bank, but was returned for lack of sufficient funds on
December 29. The check was to be redeposited on January 3, 2017. The original
deposit has been included in the December 31 checkbook balance.
(3) Coin and currency on hand amounted to P14,500.
The proper amount to be reported on Paris' balance sheet for cash at December 31,
2017 is
a. P213,000. b.P204,000. c.P222,000. d.P217,500.

33. Portugal Corporation had the following account balances at December 31, 2017:
Cash on hand and in bank P5,000,000
Cash restricted for bonds payable due on
July 31 2020 2,000,000
Time deposit (3 months) 6,000,000
Savings deposit set aside for plant expansion 1,000,000

In the current assets section of Portugal Corporation’s December 31, 2017, balance
sheet, what total amount should be reported as cash and cash equivalents?
a. P11,000,000 b. P12,000,000 c. P13,000,000 d. P14,000.000

34. At September 30, 2017, cash receipts and cash disbursements per general
ledger Cash in Bank account of Korea Company are P302,000 and P240,000,
respectively. The bank statement for the same month indicates that only P305,000
in deposits were received during the month and checks clearing the bank were
P236,000. At August 31, 2017 bank reconciliation showed deposits in transit of
P95,000. Outstanding checks at September 30, 2017 were P20,000. How much is
the deposits in transit at September 30, 2017?
a. P98,000 b. P95,000 c. P92,000 d. P3,000

35. The following information pertains to Orange Corporation as of December 31,

2017:
Cash balance per bank statement P16,000,000
Deposit in transit 5,200,000
Checks outstanding (including certified check
of P400,000) 2,000,000
Customer note collected by bank for Orange 600,000
NSF checks of customers returned by bank 800,000
Bank service charge shown in December
bank statement 80,000
Error made by Orange in recording check that
cleared the bank in December (check was
drawn in December for P400,000 but recorded
at P40,000) 360,000

What is the cash balance per ledger on December 31, 2017?

a. P20,240,000 b. P19,880,000 c. P19,600,000 d.P19,520,000

36. Using the information given in no. 35, what is the corrected cash balance as of
December 31, 2017?
a.P19,520,00 b. P19,600,000 c. P19,880,000 d. P20,240,000

37. The accountant of Happy, Inc. examined the petty cash fund immediately after
the close of business on July 31, 2017, the end of the company’s fiscal year. The
petty cash custodian presented the following during the count:

Currency P3,300
Petty cash vouchers:
Postage 840
Office supplies expense 1,800
Transportation expense 680
Computer repairs 1,600
Advances to office staf 3,000
A check drawn by Nehemiah Inc. payable to the
14,400
petty cash custodian
Postage stamps on hand 600
An employee's check, returned by the bank
2,000
marked as NSF
An envelope containing currency of P3,780 for a
3,780
retiring employee
P32,000

The ledger shows an imprest petty cash fund balance of P 32,000.

How much is the shortage (SH) or overage (O) in the petty cash fund?
a. P4,380 O b. P4,380 SH c. P3,780 SH d. P3,780 O

38. Using data in No. 37, what is the adjusted balance of the petty cash fund at
July 31, 2017?
a. P21,480 b. P7,080 c. P14,400 d. P17,700

39. Blissful Company’s checkbook balance at December 31, 2017 was P100,000. In
addition, the company held the following items in its safe on that date.
> P10,000 worth of check payable to Blissful Company deposited on December 15
and included in December 31 checkbook balance but returned by the bank on
December 30 stamped “NSF”. The check was redeposited on January 2, 2018 and
cleared on January 9, 2018.
>P40,000 check payable to Blissful Company dated January 2, 2018 in payment of a
sale made in December 2017, not included in December 31 checkbook balance.
>Check drawn on Blissful Company’s account amounting to P6,000, payable to a
vendor, dated and recorded in Blissful Company’s books on December 31, but not
mailed until January 10, 2018.

What is the correct amount of cash in Blissful Company’s December 31, 2017
statement of financial position?
a. P136,000 b. P104,000 c. P100,000 d. P96,000

40. The following was included in the bank reconciliation of Wisdom Company on
December 31 of the current year:
Total company receipts for December P760,80
0
Total credits per bank in December 790,200
Credit memo for note collected in November and 45,000
recorded in December
Credit memo for note collected in December not yet 64,000
recorded
Deposit in transit, November 30 75,600
Erroneous receipt by the company during
December, no correction was made until the
12,000
following year

What is the amount of deposit in transit at December 31?

a. P15,200 b. P65,200 c. P53,200 d. P98,000

41. As of December 31, 2014, HONESTO Corporation had the following items in its cash
and cash equivalent account:
 The amount that will be presented in HONESTO’s December 31, 2014 Statement of
Financial Position as “Cash and Cash Equivalent” is: a. P11,200,000 b.
P9,200,000 c. P5,200,000 d. P4,200,000

42. ANGELITO Corporation’s bank statement for the month of March included the following
information:

In comparing the bank statement to its own cash records, ANGELITO found the following:

Deposits made but not yet recorded by the bank, P18,445.

Checks written and mailed but not yet recorded by the bank, P32,650.
In addition, ANGELITO discovered that it had erroneously recorded a check for P230 but the
correct amount was P320.

What is ANGELIT0’S adjusted cash balance at March 31?

a. P140,115 b. P126,140 c. P126,025 d. P125,910
43. TEODORA CORPORATION uses two bank accounts in ISLAND’S Bank to manage
its cash, namely:
>SAVINGS ACCOUNT No. 0210-0 to receive all deposits and earn interest. (Cash
concentration account)
>CURRENT ACCOUNT No. 0210-1 to make all disbursements. (Cash disbursement
account)
There is a right-of-ofset that exist between the two accounts, such that the total
disbursement checks that cleared for the day will be funded by a transfer from the
savings account. The current account will always have a balance of zero. There
also exists a P10-million-overdraft credit line from which the bank is authorized to
draw and credit to the savings account just in case the total clearing checks exceed
the savings account balance. To this date, TEODORA has not availed of the
overdraft credit line.
You were tasked to prepare a bank reconciliation statement. Which is the most
likely reconciling item that will appear in the accounts?
a. SAVINGS ACCOUNT No. 0210-0: Deposit in transit.
b. SAVINGS ACCOUNT No. 0210-0: Outstanding checks.
c. CURRENT ACCOUNT No. 0210-1: Customer’s bouncing check (NSF check)
d. CURRENT ACCOUNT No. 0210-1: This account will never have a reconciling item.

44. AMORMIO Corporation is a valued client of SIETE Bank. It enjoys the following
services from the bank:
i. Check cutting service where the bank prints and releases the checks to suppliers
and other payees.
ii. The bank accepts customer’s payment for credit to AMORMIO.
iii. On-line payment to the Bureau of Customs to facilitate release of imported
goods.
iv. Letter of Credit line to facilitate importation. AMORMIO’s
account is debited when the supplier negotiates the Letter of Credit.

You gathered the following information:

>December 31, 2015 cash-in-bank balance is P100,000 per bank statement, and
credit P1,885,000 per general ledger. Deposit in transit is P200,000.
>Items credited by bank to AMORMIO’s account but not yet debited in AMORMIO’s
books:
Customers’ payments to AMORMIO collected by bank, P2,655,000.
Items debited (deducted) by bank from AMORMIO’s account but not yet recorded in
AMORMIO’s books.
Payment to AMORMIO’s foreigh supplier, P400,000.
Bank charges, P20,000.
Payment to Bureau of Customs, P50,000.
How much is AMORMIO’s adjusted cash-in-bank balance as of December 31, 2015?
a. P400,000 b. P300,000 c. P200,000 d. P100,000

USE THE FOLLOWING INFORMATION TO ANSWER QUESTIONS 45, 46 and 47.

 45. The total
deposit in transit for November 30, 2015 bank reconciliation statement is:

SOLUTION:
40,000
220,000
(225,000) = DIT: 35,000
46. The total outstanding checks for November 30, 2015 bank reconciliation statement is:

SOLUTION:
60,000
138,500
(173,500) = OS: 25,000

47.The correct/adjusted ending balance in Bank of Makati that will be included in the
statement of financial position dated November 30, 2015?

SOLUTION:
235,000
35,000
(25,000) = CASH: 245,000

A surprise count of the petty cash fund of JOJING Trading on July 4, 2016 showed the
following:

The company’s fiscal year ends on June 30, 2015. The petty cash fund was established
for an amount of P15,000.

48. How much is the shortage or overage in the petty cash fund at June 30, 2016?
a. P20 b. P30 c. P50 d. P100

You were asked to prepare a 4-column bank reconciliation statement for ALIBABA
Corporation as of December 31, 2015. You gathered the following facts:
49. How much is the correct/reconciled balance for December 31, 2015?
a. P6,900 b. P179,200 c. P302,200 d. P479500

50. How much is the adjusted receipts for December, 2015?

a. P18,800 b. P179,200 c. P307200 d. P479500

51. How much is the adjusted disbursements for December, 2015?

a. P18,800 b. P179,200 c. P307200 d. P1,474,500

52. How much is the correct/reconciled balance for November 30, 2015?
a. P6,900 b. P179,200 c. P302,200 c. P474,500