Knowee
Questions
Features
Study Tools

Calculate the value for the cash at bank from the following list of balance sheet items: Capital $5,700 Debtors $890 Creditors $450 Stock $360 Loan to a friend $1,400. Group of answer choices 1.Cash at bank $3,500 2.Cash at bank $5,400 3.Cash at bank $2,600 4.Cash at bank $6,300

Question

Calculate the value for the cash at bank from the following list of balance sheet items:

Capital 5,700Debtors5,700 Debtors 890 Creditors 450Stock450 Stock 360 Loan to a friend $1,400. Group of answer choices

1.Cash at bank $3,500

2.Cash at bank $5,400

3.Cash at bank $2,600

4.Cash at bank $6,300

🧐 Not the exact question you are looking for?Go ask a question

Solution

To calculate the value for the cash at bank, we need to subtract the liabilities and assets other than cash from the capital.

Given: Capital = 5,700Debtors=5,700 Debtors = 890 Creditors = 450Stock=450 Stock = 360 Loan to a friend = $1,400

Step 1: Calculate the total liabilities and assets other than cash. Total liabilities and assets other than cash = Debtors + Creditors + Stock + Loan to a friend Total liabilities and assets other than cash = 890+890 + 450 + 360+360 + 1,400 Total liabilities and assets other than cash = $3,100

Step 2: Calculate the cash at bank. Cash at bank = Capital - Total liabilities and assets other than cash Cash at bank = 5,7005,700 - 3,100 Cash at bank = $2,600

Therefore, the value for the cash at bank is $2,600.

The correct answer is: 3. Cash at bank $2,600

This problem has been solved

Similar Questions

Question 10Use the balance sheet pictured to answer the following question.Balance SheetCurrent assetsAmount Cash$2,500 Accounts receivable$400 Inventory$400 Prepaid rent$10,000Long-term assets Equipment$3,900 Vehicle$25,000 Accumulated depreciation-$2,500 Furniture$2,200 Computers$2,600Total Assets$44,500If Eternal Summer purchased $500 worth of Inventory using their supplier credit line, what would the total assets be after the transaction? 1 point$44,000$44,500$45,000

Based on the following information, how much is the correct cash in bank assuming the cash balance per book is P500,000? Bank service charge 100,000Outstanding check 200,000NSF check 30,000Group of answer choices400,000370,000200,000170,000

Calculate the adjusted cash balance per books of ABC Co. given the following information.  ItemAmountBalance per bank statement$10,005Balance per cash account book balance9,500Deposit in transit300Interest earned on the depositor's balance55NSF check100Outstanding checks850Multiple choice question.$9,510$8,550$9,455$10,305

Calculate the adjusted cash balance per the books of XYZ Co. given the following information.  ItemAmountBalance per bank statement$600Balance per cash account book balance710Deposit in transit200Note collected by the bank on behalf of the depositor80Monthly bank charges40Outstanding checks50Multiple choice question.$990$630$750$950

If bank reserves are 200, the public holds 400 in currency, and the desired reserve/deposit ratio is 0.25, the deposits are ____ and the money supply is _____.Group of answer choices200; 600800; 1200400; 800600; 1000

1/3

Upgrade your grade with Knowee

Get personalized homework help. Review tough concepts in more detail, or go deeper into your topic by exploring other relevant questions.