An entity reported the following data on December 31, 2020: Cash in bank, net of bank overdraft of P100,000 1,200,000 Petty cash, including unreplenished petty cash expenses P10,000 50,000 Accounts receivable, net customers’ accounts with credit balances of P200,000 2,000,000 Inventory, excluding unrecorded purchase of P300,000 on account in transit shipped FOB shipping point on December 31, 2020 2,500,000 Deferred charges 150,000 Accounts payable, net of suppliers’ accounts with debit balances of P400,000 3,000,000 Note payable, with annual installment of P500,000 payable every December 31 2,000,000 Accrued expenses 300,000 What amount should be reported as total current liabilities on December 31, 2020?
An entity reported the following data on December 31, 2020: Cash in bank, net of bank overdraft of P100,000 1,200,000 Petty cash, including unreplenished petty cash expenses P10,000 50,000 Accounts receivable, net customers’ accounts with credit balances of P200,000 2,000,000 Inventory, excluding unrecorded purchase of P300,000 on account in transit shipped FOB shipping point on December 31, 2020 2,500,000 Deferred charges 150,000 Accounts payable, net of suppliers’ accounts with debit balances of P400,000 3,000,000 Note payable, with annual installment of P500,000 payable every December 31 2,000,000 Accrued expenses 300,000 What amount should be reported as total current liabilities on December 31, 2020?
Financial Accounting
14th Edition
ISBN:9781305088436
Author:Carl Warren, Jim Reeve, Jonathan Duchac
Publisher:Carl Warren, Jim Reeve, Jonathan Duchac
Chapter8: Sarbanes-oxley, Internal Control, And Cash
Section: Chapter Questions
Problem 19E
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An entity reported the following data on December 31, 2020:
Cash in bank, net of bank overdraft of P100,000
1,200,000
Petty cash, including unreplenished petty cash expenses P10,000
50,000
Accounts receivable, net customers’ accounts with credit balances of P200,000
2,000,000
Inventory, excluding unrecorded purchase of P300,000 on account in transit shipped FOB shipping point on December 31, 2020
2,500,000
Deferred charges
150,000
Accounts payable, net of suppliers’ accounts with debit balances of P400,000
3,000,000
Note payable, with annual installment of P500,000 payable every December 31
2,000,000
Accrued expenses
300,000
What amount should be reported as total current liabilities on December 31, 2020?
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