The Accounting Department produced the following data for Jon Company as of December 31, 2021: Checkbook balance                                                                      P   475,000 Collectibles balance                                                                            500,000 Cash in sinking fund                                                                            500,000 Petty cash fund balance                                                                        5,000 There was also a check drawn on Jen's account, payable to supplier amounting to P10,000, dated and recorded on December 31, 2014, but was mailed only on January 15, 2022. On December 31, 2021, how much should be reported as "cash and cash equivalents"? A. 990,000 B. 490,000 C. 980,000 D. 480,000

Individual Income Taxes
43rd Edition
ISBN:9780357109731
Author:Hoffman
Publisher:Hoffman
Chapter18: Accounting Periods And Methods
Section: Chapter Questions
Problem 46P: Blue Company, an architectural firm, has a bookkeeper who maintains a cash receipts and...
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  1. The Accounting Department produced the following data for Jon Company as of December 31, 2021:

Checkbook balance                                                                      P   475,000
Collectibles balance                                                                            500,000
Cash in sinking fund                                                                            500,000
Petty cash fund balance                                                                        5,000

There was also a check drawn on Jen's account, payable to supplier amounting to P10,000, dated and recorded on December 31, 2014, but was mailed only on January 15, 2022. On December 31, 2021, how much should be reported as "cash and cash equivalents"?

A. 990,000
B. 490,000
C. 980,000
D. 480,000
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