Professional Documents
Culture Documents
Ia Problem Solving
Ia Problem Solving
a. 1,600,000
Deposit in Transit 700,000
Add: Cash receipts for the month of December:
Book debit 8,500,000
Less: December credit memo for note collected -600,000 7,900,000
8,600,000
Less: Deposits acknowledged by bank in November:
Bank credits -8,000,000
Erroneous bank charge -200,000
Less: November credit memo for note collected: -7,000,000
1,600,000
2. c. 4,100,000
cash 475,000
sales discount (500,000 x 3%) 15,000
allowance for freight charge 10,000
accounts receivable 500,000
cash 485,000
sales discount (500,000 x 3%) 15,000
accounts receivable 500,000
cash 485,000
sales discount 15,000
account receivable 500,000
cash 10,000
accounts receivable 10,000