Ask Question, Ask an Expert

+1-415-315-9853

info@mywordsolution.com

Ask Accounting Basics Expert

Q1) Controller for Clint Eastwood Co. is attempting to find out amount of cash to be reported on its December 31, 2007, balance sheet. Following information is provided.

 

1. Commercial savings account of $600.000 and commercial checking account balance of $900,000 are held at First National Bank of Yojimbo.
2. Money market fund account held at Volonte Co. (mutual fund organization) allows Eastwood to prepare checks on this balance, $5,000,000.
3. Travel advances of $180,000 for executive travel for first quarter of next year (employee to reimburse through salary reduction).
4. Separate cash fund in amount of $1,500,000 is restricted for the retirement of long-term debt.
5. Petty cash fund of $1,000.
6. I.O.U. from Marianne Koch, company customer, in amount of $190,000.
7. Bank overdraft of $110,000 has occurred at one of banks company uses to deposit its cash receipts. At present time, company has no deposits at this bank.
8. Company has two certificates of deposit, each totaling $500,000. These CDs have a maturity of 120 days.
9. Eastwood has got a check which is dated January 12, 2008, in amount of $125,000.
10. Eastwood has agreed to sustain a cash balance of $500,000 at all times at First national Bank of Yojimbo to make sure future credit availability.
11. Eastwood has bought $2,100,000 of commercial paper of Sergio Leone Co. which is due in 60 days.
12. Currency and coin on hand amounted to $7,700.

 

problems:

 

a) find out amount of cash to be reported on Eastwood Co.'s balance sheet at December 31, 2007.

 

b) Indicate proper reporting for items which are not reported as cash on the December 31, 2007, balance sheet.

Accounting Basics, Accounting

  • Category:- Accounting Basics
  • Reference No.:- M920008

Have any Question? 


Related Questions in Accounting Basics

Q1 partners a b and c are contemplating using the following

Q1. Partners A, B and C are contemplating using the following profit distribution plan: Salary is to be given to A in the amount of P60,000, with the remainder in an equal rates to all partners. A is guaranteed a minimum ...

Practice questionsdescribe the information needs of three

Practice questions: Describe the information needs of three different types of users of financial information and discuss how well these needs are met by the annual report and accounts.

Accounting information systems assignmentthe processes of

ACCOUNTING INFORMATION SYSTEMS ASSIGNMENT: The processes of selecting an AIS/ERP to make informed decision for investment in an accounting software. Group Assignment Scenario B Bakery is a family owned firm with around 7 ...

For an accounts receivable system what kind of data would

For an accounts receivable system, what kind of data would be found in the master files and transaction files, respectively?

Using financial statement disclosures to infer bad debt

Using Financial Statement Disclosures to Infer Bad Debt Expense The 2009 annual report for Sears Holding Corporation contained the following Description Using Financial Statement Disclosures to Infer Bad Debt Expense The ...

Where does the researcher finda authoritative us gaap

Where does the researcher find: a. Authoritative U.S. GAAP sources? b. Non authoritative U.S. GAAP sources?

Question 1 accounting equation determine the missing amount

Question 1: Accounting Equation Determine the missing amount in each of the following cases:    Assets                          Libilities              stockholders' Equity a. $200,000                     $85,000         ...

Questionsq1 the largest current asset on waverly

Questions: Q1. The Largest current asset on Waverly Corporation's balance sheet is Short-Term Investments. The investments cost Waverly $8,660, and their market value is $9,000. Suppose Waverly holds the investments in t ...

Q1- chart of accountsinnerscape interiors is owned and

Q1- Chart of accounts Innerscape Interiors is owned and operated by Jackie Vargo, an interior decorator. In the ledger of Innerscape Interiors, the first digit of the account number indicates its major account classifica ...

Accounting standardsguidelines for literature

Accounting Standards Guidelines for Literature Critiques Students must submit a critique of the following academic articledeemed to be seminal to their main area of research. Details about the format, structure and asses ...

  • 4,153,160 Questions Asked
  • 13,132 Experts
  • 2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

A cola-dispensing machine is set to dispense 9 ounces of

A cola-dispensing machine is set to dispense 9 ounces of cola per cup, with a standard deviation of 1.0 ounce. The manuf

What is marketingbullwhat is marketing think back to your

What is Marketing? • "What is marketing"? Think back to your impressions before you started this class versus how you

Question -your client david smith runs a small it

QUESTION - Your client, David Smith runs a small IT consulting business specialising in computer software and techno

Inspection of a random sample of 22 aircraft showed that 15

Inspection of a random sample of 22 aircraft showed that 15 needed repairs to fix a wiring problem that might compromise

Effective hrmquestionhow can an effective hrm system help

Effective HRM Question How can an effective HRM system help facilitate the achievement of an organization's strate