Chapter 4 - Receivables MULTIPLE CHOICE A . The Morning Star Corporation includes in its trial balance for December 31 Trade Accounts Receivable of P1,114,500. The balance consists of the following items: Due from regular customers P 523,000 Installment accounts receivable, including P150,000 collectible beyond 2022, granted within the usual installment terms of the company 224,000 Loans to officers 220,000 Advances to creditors for goods ordered 45,500 Accounts receivable assigned as security for loans payable 75,000 Notes receivable past due plus interest on these notes 27,000 Total P1,114,500 1 . What should be the amount to be presented as Trade Accounts Receivable in the statement of financial position as of December 31? A. P1,114,500 P894,500 P849,000 P699,000 B. As part of your audit of receivables, you performed a cut-off test of sales. Results of the cut- off test revealed the following: Recorded as Sales in December 2021 Received by Selling Price Cost Terms Shipment Date Customers P18,000 16,500 FOB shipping point 12-26-2021 12-29-2021 12,500 10,200 FOB destination 12-26-2021 12-29-2021 8,680 7,240 FOB destination 12-28-2021 01-02-2022 14,200 12,500 Shipped to consignee 12-29-2021 01-02-2022 9,000 7,500 FOB shipping point 12-30-2021 01-02-2022 10,000 7,750 FOB destination 12-31-2021 01-03-2022 7,800 6,100 FOB shipping point 12-31-2021 01-02-2022 14,000 12,000 Shipped to consignee 12-31-2021 01-02-2022Chapter 4 - Receivables Recorded as Sales in January 2022 Received by Selling Price Cost Terms Shipment Customers Date 21,000 18,200 FOB shipping point 12-31-2021 01-03-2022 10,500 8,800 FOB destination 12-31-2021 01-03-2022 4,500 3,200 FOB destination 01-02-2022 01-03-2022 6,500 5,000 FOB shipping point 01-02-2022 01-05-2022 C. A count of all inventories within the premises was made in the morning of December 31, 2021 prior to any shipment during the day. The total cost of the count was recorded as inventories as of December 31, 2021. The goods shipped to consignees are still unsold at December 31. The unadjusted ledger balances show the following: Accounts Receivable 276,500 Inventories 425,000 Sales 1,320,000 Cost of Sales 842,000 Determine the adjusted balances of 2. Accounts Receivable P229,620 P250,620 P261,120 P289,320 3. Inventories P406,800 P420, 440 P447, 440 P449,500 4. Sales P1,294,120 P1,304,620 imuo P1,322,320 P1,351,500Chapter 4 - Receivables 5. Cost of Sales A. P817,500 B. P828,360 C P846,560 D. P873,560