-- San Company reported the following items on December 31, 2022: Treasury bills- 7 months maturity P 150,000 Treasury bills – 2 months maturity 75,000 Bank A- demand deposit 67,500 Undeposited customer check 26,000 Currency and coins on hand 2,900 Savings deposit- for plant expansion 2,000,000 Bank B-demand deposit 100,000 The demand deposit in Bank B represents a 20% compensating balance for a P1,000,000 loan with the bank. Victoria may not withdraw the balance until the loan is repaid in 2025. What amount of cash and cash equivalents should Victoria report on December 31, 2022? A. 171,400 C. 421,400 B. 321,400 D. 271,400

-- San Company reported the following items on December 31, 2022: Treasury bills- 7 months maturity P 150,000 Treasury bills – 2 months maturity 75,000 Bank A- demand deposit 67,500 Undeposited customer check 26,000 Currency and coins on hand 2,900 Savings deposit- for plant expansion 2,000,000 Bank B-demand deposit 100,000 The demand deposit in Bank B represents a 20% compensating balance for a P1,000,000 loan with the bank. Victoria may not withdraw the balance until the loan is repaid in 2025. What amount of cash and cash equivalents should Victoria report on December 31, 2022? A. 171,400 C. 421,400 B. 321,400 D. 271,400

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

Today is June 1. Sustainable Corporation has an obligation of $25 million coming due on August 1. The company is planning to borrow this amount on August 1 to fulfill its obligation, and plans to pay back the loan on December 1. The company’s borrowing rate is LIBOR + 125 basis points. The company’s bank presents it with the following LIBOR term structure: # days LIBOR 30 0.90% 60 1.00% 90 1.05% 120 1.10% 150 1.15% 180 1.18% 210 1.20% 240 1.21% For the calculation of interest, the bank assumes 30 days in a month, and 360 days in a year. Ms. Devro, the VP Finance of Sustainable, is worried that LIBOR will increase between June and August, thus increasing the company’s borrowing cost. She advises that the company enters into a forward rate agreement (FRA) with its bank to hedge its interest rate risk. She has asked you, the treasurer of the company, to present her with answers to the following questions: c. July 1 is the end…
pls give solutions
On December 31, 2019 an entity received two P2,000,000 notes receivable from customers. On both notes interest is calculated on the outstanding principal balance at the annual rate of 3% and the payable at maturity. The first note, made under customary trade terms, is due in nine months and the second note is due in five years. The market interest for similar notes on December 31, 2019 was 8% the PV of 1 at 8% due in nine months is .944, and the PV of 1 at 8% due in 5 years is .68. What is the carrying amount of the first note receivable? What is the second amount of second note receivable?
18- On 01.10.2019, the enterprise opened a time deposit account at Ziraat Bank with a maturity of 9 months, amounting to TL 500,000. The annual interest rate is 20% and the principal is transferred to the demand deposit account of the enterprise in the same bank together with the interest at the end of the maturity. (Financial statements will be prepared annually and the tax rate is 15%) . According to this, what is the amount of net interest income to be obtained by our business at the end of maturity? a) 75.000 TL B) 63,750 TL NS) 11,250 TL D) 25.000 TL TO) 50,000 TL
A bank gives6-month 7.2% interest rate compounded monthly(the interest rate is that the bank applies to a client who deposits hismoney in the bank). This bank provides capital to investors with 22%annual loan interest rate.An investor who receives theloan from this bank wants to invest, expecting 10% annual real profit rate.Annual inflation rate is 14.6%. According to this; a.Determine monthly loan interest rate of the bank b.Find annual real profit rate of the bank c.Calculate the investor's annual compoundeddiscount (profit) rate. d.Calculate the annual realprofit rate of the depositor.
Use the information provided below to prepare the Debtors Collection Schedule for January and February 2023:INFORMATIONThe following information was provided by Intel Enterprises:1. The bank balance on 31 December 2022 is expected to be R40 000 (unfavourable).2. Credit sales are expected to be as follows:December 2022 - R576 000 January 2023 - R540 000 February 2023 - R648 0003. Credit sales usually make up 40% of the total sales. Cash sales make up the balance. Cash customersreceive a 10% discount.4. Credit sales are normally collected as follows:* 30% in the month in which the transaction takes place, and these customers are entitled to a 5% discount.* 65% in the following monthThe rest is usually written off as bad debts.5. Budgeted purchases of inventory are as follows:December 2022 - R1 000 000 January 2023 - R800 000 February 2023 - R920 000
In the example below, we will use year-end assets. Bank A receives $70 in deposits at 5% and, together with 40 in equity, makes a loan of $90 at 7%. The remaining of assets is G-Bond. We will ignore taxes for the moment. NIM=Profit/Interest revenue Bank A Loan 7% $90 G-Bond 5% ? Deposits 5% $70 Equity $40 Total Assets $? Total Equity and Deposit $110 The amount of G-bond is $50 $70 $20 $40 $80 $60 $30 $10
The clean Bank has the following assets and liabilities as of year-end.All asset and liability item have face value of $1,000 and are priced at par.And interests and coupons are paid annually for all asset and liability items. Assets Amount($millions) Annual Rate Liabiltiies and Equity Amount($millions) Annual Rate 5-year loans 40 40% 3-year term deposit 20 4% 5-year coupon bonds 60 8% 5-year term deposit 30 8% Equity 50 Total 100 100 Please calulate the Clean Bank's maturity gap.What does the maturity gap imply about the interest risk of the bank?Will you view on the interest risk of the bank be different under duration model?Explain carefully..
USE THE FOLLOWING INFORMATION FOR NOS. 19 AND 20. ROUND ALL AMOUNTS TO THE NEAREST PESO On July 1, 2020, Jason Corporation pledged P5,000,000 of its accounts receivable to Philippine Bank as security for a P2,000,000 loan. The term of the loan is for one year and discounted at 12%. The journal entry to record the loan proceeds will show a debit to A) Commission Expense 240,000 Discount on Notes Payable 240,000 C. Recourse Obligation 240,000 Factor Holdback 240,000 Last saved 江 %23 P Type here to search
The working capital of BT21 Co. on December 31, 2021 are presented below:· Cash on hand – 200,000· Cash in bank – 108,000· Notes receivable – 250,000· Trade receivable – 600,000· Inventory – 650,000· Prepaid expenses – 45,000· Trade payables – 325,000· Notes payable (due annually at 500,000 payable every March 31) – 1,000,000· Accrued expenses – 40,000How much total current assets should BT21 Co. present in its statement of financial position on December 31, 2021?
Mf3. : An entity took UAH 100,000 loan for 5 at 26% of annual interest rate. Interests are paid annually. A bank is using annuity due scheme. Interest revenue for a bank in period 1 is: An entity took UAH 100,000 loan for 5 at 26% of annual interest rate. Interests are paid annually. A bank is using annuity due scheme. Principal, paid in the fourth period, is: Outstanding loan amount is USD 17,000.00. Annuity is USD 4,315.27, interest rate is 18%. The amount of principal, paid in the given period is: Outstanding loan amount is USD 22,000.00. Annual interest rate is 11%. Interest is paid at the end of each year. In the given period bank received USD 4,300.00 of principal payment. The annuity amount is:
Gab Company expects that it will need P600,000 cash for March 2022. Possible means of financing are: (A) Establish a 1-year credit line for P600,000. The bank requires a 2 percent commitment fee. The interest rate is 21 percent. Funds are needed for 30 days. (B) Fail to take a 2/10, net/40 discount on a P600,000 credit purchase. (C) Issue P600,000, 20 percent commercial paper for 30 days. Which financing strategy should be selected? Provide solution a. Strategy Ab. Strategy Bc. Strategy Cd. Strategy A and Be. Strategy B and C