question archive On December 31, 2021, A Company reported the following as part of its current assets: Cash - P5,200,000, Accounts Receivable, net - P8,100,000, Notes receivable, net - P1,500,000, Inventory - P3,700,000, and Prepaid expenses - P800,000
On December 31, 2021, A Company reported the following as part of its current assets: Cash - P5,200,000, Accounts Receivable, net - P8,100,000, Notes receivable, net - P1,500,000, Inventory - P3,700,000, and Prepaid expenses - P800,000
Subject:BusinessPrice: Bought3
On December 31, 2021, A Company reported the following as part of its current assets: Cash - P5,200,000, Accounts Receivable, net - P8,100,000, Notes receivable, net - P1,500,000, Inventory - P3,700,000, and Prepaid expenses - P800,000. The notes receivable was stated net of a discounted note of P200,000. a Accounts receivable was stated net of allowance for uncollectible accounts amounting to P100,000. Included in the net balance are (1) a P135,000 immediately demandable claim against a carrier for goods that were damaged while in transit, and (2) P2,500,000 representing the selling price for goods sent out on consignment to another company. The goods in (2) were excluded from A's ending inventory. Selling price is 125% of cost. Prepaid expenses consist of supplies that are normally consumed within three months. Determine what should be the adjusted balance of current assets in A Company's statement of financial position as of December 31, 2021.
