QUESTION 11 3 points Save Ans The accountant in ABC company is trying to determine the correct balance of cash and cash equivilants to be reported as a current asset in the statement of financail position. The following items are being considered: 1. The balance in the company's account at the ONE bank, checking $10,500, savings $25,100. 2. Undeposited customer checks of $5,200. 3. Currency and coins on hand of $750. 4. Savings account at the Citizen bank with a balance of $400,000. This account is being used to accumulated cash for future plant expansion (in 2015). 5. $20,000 in a checking account at the East Bank, the balance in the account represents a 20% compensating balance for a $100,000 loan with the bank. The company may not withdraw the funds until the loan is due in 2016. 6. Governemnts bonds; 2-month maturity bonds totaling $15,000 and 7-months bonds totaling $20,000. Determine the correct balance of cash and cash equivalents. QUESTION 12 On July 5, O&A Company sold merchandise for $30,000 with terms 3/10, 1/30. On July 14, the customer sent a check for $19,400 taking advantage of the discount to settle 980,000 of the amount. On August 4, the customer paid the remaining $10,000. O&A Company is uses gross method of accounting for cash discount. Prepare the journal entries to record the sale in July 5 and the payments on July 14 and August 4. Attach File Browse My Computer Browse Content Collection