BC Company requires refundable advance payments with special orders for machinery constructed to customer's specifications. Information for 2021 is as follows: Customer advances - balance, December 31, 2020: P 885,000 Advances received with orders in 2021: P1,380,000 Advances applied to orders shipped in 2021: P1,230,000 Advances applicable to orders cancelled in 2021: P375,000 What amount should ABC Company report as current liability fo
BC Company requires refundable advance payments with special orders for machinery constructed to customer's specifications. Information for 2021 is as follows: Customer advances - balance, December 31, 2020: P 885,000 Advances received with orders in 2021: P1,380,000 Advances applied to orders shipped in 2021: P1,230,000 Advances applicable to orders cancelled in 2021: P375,000 What amount should ABC Company report as current liability fo
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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ABC Company requires refundable advance payments with special orders for
machinery constructed to customer's specifications. Information for 2021 is as follows:
Customer advances - balance, December 31, 2020: P 885,000
Advances received with orders in 2021: P1,380,000
Advances applied to orders shipped in 2021: P1,230,000
Advances applicable to orders cancelled in 2021: P375,000
What amount should ABC Company report as current liability for customer's
deposits in December 31, 2021 statement of financial position?
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