Cash Flows

Beginning cash balance 215,000

Cash receipts from customers 460,000
Cash payments for wages 240,000
Cash payments for insurance 20,000
Cash payments for taxes 80,000
Cash payments to purchase land 160,000
Cash receipts from sale of an old vans 160,000
Cash receipts from issuance of 10%, 10 year bonds 1,500,000
Cash payments from operating expenses 650,000
Cash payments for equipment purchased 300,000
Cash payments for land acquired 1,200,000
Cash payments for reacquisition of treasury shares 250,000
Cash receipts fro sale of stocks 900,000
Issuance of stock dividend 789,000

Required: Prepare statement of cash flows for the year 2020

BANK RECONCILIATION
Prepare bank reconciliation for Encinares Company for the month of July, 2015.
a. Balance per books P72,166 while balance per bank P95,347.50
b. Outstanding checks P14,679
c. The bank erroneously charged P3,250 check of Encinas Co. against the
account of Encinares Company.
d. Bank Service charges P250
e. Loan fom the bank P40,000
f. The Accountant of the company recorded a P1,090 payment for repair
as P10,900
g. Deposit in transit P31,407.50
h. Included in the paid checks a memo from Jenny Sy's memo that
a check for P6,400 marked DAIF. Jenny a customer had sent the
payment for P6,600 less P200 discount

1. Fermin Co's book's show the following entries for the month of December, 2016

Date Deposits Checks Balance

Dec 01 Beg. Balance 89,300
Dec 05 Deposit 65,000
Dec 05 Ck# 14346 8,600
Dec 07 Ck# 14344 32,500
Dec 11 Ck# 14345 14,000
Dec 30 Deposit 49,000
 148,200

Bank reconciliation for November revealed one outstanding check (#14343) for 12,000 and
deposit in transit for 5,550.

Bank statement for December 2016 with adjusting journal entries

Date DEBIT CREDIT Balance

Dec 01 Beg. Balance 95,750
Dec 01 Deposit 5,550
Dec 04 Ck# 14344 32,500
Dec 05 Deposit 56,000
Dec 14 Ck# 14345 14,000
Dec 15 Loan Proceeds 500,000
Dec 20 NSF check 7,600
Dec 29 Service Charge 1,000
Dec 31 Interest 3,600 605,800

Bank reconciliation for December 2015, with adjusting journal entries

PROBLEM ON CASH
1). Maly Co. had the ff: account balances on Dec 31, 2017

Cash in bank-current account 5,000,000

Cash in bank-payroll account 1,000,000
Cash on hand 500,000
Cash in restricted as for building construction 3,000,000
Treasury bills, purchased 12/15/17 due on 3/15/18 2,000,000

Cash on hand includes a 200,000 check payable to Maly dated

Jan 15, 2018. What is cash and cash equivalent on 12/31/2017

2). The ff: data pertain to Thor Co. on Dec 31, 2004

checkbook balance 4,000,000

Bank statement balance 5,000,000
Check payable to supplier dated and recorded
Dec 31 2004 but only mailed Jan 15, 2005 500,000
Cash on approprieted retained earning 2,000,000

How much cash and cash equivalent Dec 31, 2004?

3). The Dec 31, 2004 trial balance of Yasmin Co.as follows:
 Petty cash fund 50,000
Current account - PNB 4,000,000
Current account - Metro bank (250,000)
Money market placement- BDO 1,000,000
Time deposit - China bank

Petty cash includes 15,000 expense vouchers and employee

check for 5,000

A check for 100,000 was drawn against PNB dated and

recorded Dec 29, 2004, but delivered Jan 15, 2004

China bank time deposit is set aside for land acquisition

in early 2005

Compute for Cash and Cash equivalent Dec 31, 2004

4). On December 31, 2004 West Company had the following cash balances

Cash in bank 1,800,000

Petty cash fund 50,000
Time Deposit (due Feb 1, 2005) 250,000

Cash in banks includes P600,000 of compensating balance against short

term borrowing arrangement at Dec 31, 2004. The compensating
balance is legally restricted as to withdrawal by West Co. What
amount should be reported as cash.
 OPERATING ACTIVITIES
Cash receipts from custome
Cash payments for wages
Cash payments for insuranc
Cash payments for taxes
Cash payments from operati

INVESTING ACTIVITIES
Cash payments to purchase
Cash receipts from sale of an
Cash payments for equipme
Cash payments for land acqu

FINANCING ACTIVITIES
Cash receipts from issuance
Cash payments for reacquisi
Cash receipts fro sale of stoc

95,347.50 72,166.00 Beginning cash balance

(14,679.00) Ending cash balance
3,250.00
(250.00)
40,000.00
9,810.00
(6,400.00)
31,407.50
115,326.00 115,326.00
 95750
5550
56000
500000
3600
-32500
-14000
-7600
-1000

605800

5,000,000
1,000,000
300,000
2,000,000

8,300,000

4,000,000
500,000

4,500,000
NG ACTIVITIES
Cash receipts from customers 460,000
Cash payments for wages (240,000)
Cash payments for insurance (20,000)
Cash payments for taxes (80,000)
Cash payments from operating expenses (650,000)
(530,000)
G ACTIVITIES
Cash payments to purchase land (160,000)
Cash receipts from sale of an old vans 160,000
Cash payments for equipment purchased (300,000)
Cash payments for land acquired (1,200,000)
(1,500,000)
G ACTIVITIES
Cash receipts from issuance of 10%, 10 yea 1,500,000
Cash payments for reacquisition of treasury (250,000)
Cash receipts fro sale of stocks 900,000

2,150,000
120,000
Beginning cash balance 215,000
Ending cash balance 335,000