187227993-Practical-Auditing-by-Empleo-Chapter-3-Cash-ed267721e2e7c5a.txt

Chapter 3 Cash MULTIPLE CHOICE 1. C 6. B 11. B Problem 1 (a) Au!t a"ustme#ts Cash E$u!%ale#ts Cash Other &o#'urre#t !#a#!al Assets Cash Cash Arue *alar!es E+pe#se Other &o#'urre#t !#a#!al Assets Cash M!sella#eous E+pe#ses A%a#es to Emplo,ees Cash (Pett, Cash u#) Cash Arue Ut!l!t!es E+pe#se Aou#ts -ee!%able Cash (b) Cash a# Cash E$u!%ale#ts *a%!#s aou#t /!th Metroba#0 Che0!# aou#t /!th Metroba#0 22222 4 5322 Cert!!ates o epos!t Pa,roll u# 1722222 4 35222 Ta+ u# Pett, ash u# U#epos!te ollet!o#s 5222 8 75222 Corret ash a# ash e$u!%ale#ts 75222 75222 922222 622 1722 222 5322 5322 3222222 3222222 3722222 3722222 35222 35222 922222 7. B :. C 17. C 3. ; . C 13. C <. A 9. C 1<. ; 5. B 12. ; 15. ; P1522222 25322 3222222 1735222 522222 17222 62222 P:117322 Problem 7 (*ta. Mo#!a I#.) E+pe#ses Pett, Cash u# Corret bala#e o pett, ash u# = P72222 8 P12522 = P9522 12522 12522

Chapter 3 Cash Problem 3 (>!tor Compa#,) (a) Corret amou#t o pett, ash u# Curre#!es a# o!#s (b) Per ou#t Curre#!es a# o!#s Pa! pett, ash %ouhers Emplo,ee?s &* he0 @e!# !t o#tr!but!o# (/!th b!lls) Total per ou#t Cash!er?s aou#tab!l!t, Pett, ash u# per leer @e!# !t o#tr!but!o# Cash shortae (b) Au!t A"ust!# E#tr!es ;el!%er, E+pe#se 752 O!e *uppl!es E+pe#se 162 Emplo,ees Me!!#e 7<2 Tra#sportat!o# E+pe#se <22 -epa!rs a# Ma!#te#a#e <22 -ee!%ables rom Emplo,ees 7222 Cash *hortae (or M!s. E+pe#ses or -ee!%ables r Emplo,ees) 152 Pett, Cash u# P 6<22 7752 1722 1522 P11352 P12222 1522 11522 P 152 P6<22 3622 Problem < (-a!#bo/ Corporat!o#) (a) Total per ou#t Cash!er?s Aou#tab!l!t, Pett, Cash u# per leer U#use postae stamps U#use o!e suppl!es @e!# !t o#tr!but!o# Cash shortae Telepho#e E+pe#se @ater E+pe#se O!e *uppl!es E+pe#se (3:22 8 1722) Postae E+pe#se (722 8 122) Prepa! E+pe#ses (1722 4 122) -ee!%ables rom Emplo,ees (3922 4 <222) Pett, Cash u# Corret amou#t o pett, ash u# = P35222 8 P1:522 = Cash !tems !# the pett, ash u# B!lls a# Co!#s -eple#!shme#t he0 Total P 35222 P35222 122 1722 1222 1522 1622 7522 1222 3222 :922 1:522 P1:522 P 7522 15222 P1:522 39222 P <222 (b). () 76

Chapter 3 Cash Problem 5 B!lls a# Co!#s (sho/ eta!ls o e#om!#at!o# a# p!ees per e#om!#at!o#) Che0s ;ate Ma0er Amou#t 17'7'17 Ur$u!ola emplo,ee P 3222.22 17' 79'17 *ta. Mar!a emplo,ee 1522.22 17'31'17 L. Chua ustomer 7522.22 21'27'13 A. Boba!lla ustomer 3722.22 21'17'13 C. erma# emplo,ee (he0 ree!%e 17'7'17) 1522.22 >ouhers ;ate >ouher &o. Part!ulars Amou#t 17'13'17 151 re!ht out P 522.22 17'7'17 13 *uppl!es 322.22 17'79'17 1< re!ht I# 39<.72 17'31'17 19 re!ht o# ab!#et :<1.12 21'27'13 221 re!ht !# 7<<.:2 IOUs 17'71'17 *. ;eha%e U#use o!e suppl!es Total per ou#t Cash!er?s aou#tab!l!t, Pett, ash u# per leer P15222.22 U#rem!tte ash sales I#%. D 11 ;eember 32 P1222.<2 I#%. D 179 ;eember 31 7522.22 I#%. D 133 a#uar, 7 3722.22 6:22.<2 U#use o!e suppl!es <2.22 Cash shortae Au!t A"ust!# E#tr!es -ee!%ables rom Emplo,ees (1522.22 4 322.22) re!ht out *uppl!es E+pe#se (122 8 <2) Prepa! E+pe#ses ur#!ture a# E$u!pme#t re!ht !# Cash *hortae (-ee!%able rom Emplo,ees) Pett, Cash u# Cash !# Ba#0 (1222.<2 4 7522.22) *ales Corret bala#e o pett, ash u# (P15222 8 <53.72) Compose o the ollo/!# ash !tems at ;eember 31 7229 B!lls a# o!#s Che0s ate ;eember Pett, ash %ouhers ate a#uar, (u#!sburse as o ;eember 31) Total ash !tems as o ;eember 31 U#rem!tte ash sales as o ;eember 31 ( 1222.<2 4 7522) Pett, ash u# per au!t ;eember 31 122 522 762 <2 :<1.12 39<.72 27.92 3522.<2 3522.<2 P12<61.2 P6:1:.52 :222.22 7<<.:2 P13967.72 (3522.<2) P12<61.2 P6:1:.52 11:22.22 712.22 322.22 <2.22 P7293:.52 71:<2.<2 P 27.92 <53.72 7:

Chapter 3 Cash Problem 6 (;a F!# Compa#,) B!lls a# o!#s 522 + 1 122 +  52 + 3 12 + < 5+7 1+3 Che0s 17G79G17 M. -o+as emplo,ee 17G32G17 . Mar!al Compa#, 21G27G13 . Estraa u#0 *hop 21G15G13 . Cha%e emplo,ee (ree!%e 17G7:G17) Pa! pett, ash %ouhers 17G16G17 >o. &o. 1<5 re!ht o# oos bouht 17G76G17 16< Postae 17G79G17 165 Tra#sportat!o# o messe#er 21G27G13 166 -epa!rs omplete ;e. 79 7217 IOU E !l emplo,ee Postae stamps 12 ps + P17 Total per ou#t Cash!er?s aou#tab!l!t, Pett, ash u# U#rem!tte ollet!o#s 17G32G17 -eu# or merha#!se retur#e P 1522 21G26G13 *ale o "u#0 a# srap mater!als 7<52 U#use postae stamps Cash shortae A"ust!# e#tr!es -ee!%able rom Emplo,ees (122 4 1722 4 shortae o 17<:) re!ht !#GCost o oos *ol Tra#sportat!o# E+pe#se Postae E+pe#se (722 8 172) Prepa! E+pe#ses Pett, Cash u# -epa!rs a# Ma!#te#a#e Arue E+pe#ses Cash !# Ba#0 Purhase -etur#s a# Allo/a#es GCost o oos *ol Corret Pett, Cash u# = P12222 8 P<99: = Cash !tems as o ;eember 31 B!lls a# o!#s Che0s ate ;eember Pett, ash %ouher ate a#uar, 7213 Cash reu# or purhase retur#s Corret pett, ash u# bala#e P 522 22 152 <2 12 3 P 1523 P7222 1.522 7<52 122 P522 722 52 1522 ::52 7752 1722 172 P 1773 P12222 3952 172 1<2:2 P17<: <7<: 522 52 2 172 <99: 1522 1522 1522 P5223 P1523 3522 1522 (1522) P5223 1522 7

Chapter 3 Cash Problem : (C!so *,stems I#.) (1) Ba#0 reo#!l!at!o# U#a"uste bala#es Outsta#!# he0s U#epos!te ree!pts Error !# reor!# he0 !ssue or re#tal pa,me#t Ba#0 hare or pa,me#t o loa# a# !#terest Ba#0 ser%!e hares ;epos!t o a#other ompa#, Customer?s ;AI he0 A"uste bala#es (7) A"ust!# e#tr, &otes Pa,able 8 Ba#0 I#terest E+pe#se Ba#0 *er%!e Chares Aou#ts -ee!%able -e#t E+pe#se Cash !# Ba#0 (3) Cash a# ash e$u!%ale#ts Pett, ash u# Cash !# ba#0 Treasur, b!lls matur!# !# 7 mo#ths Total ash a# ash e$u!%ale#ts Problem  (*u#sh!#e Corporat!o#) 1. U#a"uste Bala#es Outsta#!# he0s U#epos!te ollet!o#s Customer?s #ote ollete b, ba#0 Ba#0 ser%!e hare A"uste bala#es Cash shortae Cash bala#e ;eember 31 per au!t 7. U#erstate boo0 bala#e <56222 8 <65222 O%erstate ba#0 bala#e <7<222 8 <5<<22 Om!tte outsta#!# he0s 13 19 U#erstate outsta#!# he0s 57222 8 75222 9222 8 922 75222 8 15222 O%erstate u#epos!te ollet!o#s Om!ss!o# o ba#0 re!t memo Total ash shortae Per Ba#0 P <7<222 (113222) <222 P359222 P359222 Per Boo0s P<65222 19222 (1522) P<7522 (173522) P359222 P 9222 32<22 <522 17522 7:222 122 12222 3222 19222 P173522 <2222 5222 1<22 17522 122 5:122 P 72222 1795717 522222 P115717 Per ba#0 P 1<63717 (1<2222) 59522 Per boo0s P1357317 122 (<5222) (1<22) (:522) P1795717 (17522) P1795717 79

Chapter 3 Cash 3. U#epos!te ollet!o#s ;eember 31 Collet!o#s a#uar, 1 8 15 Total amou#t a%a!lable or epos!t Amou#t epos!te per epos!t sl!ps U#epos!te ollet!o#s a#uar, 15 Cash o# ha# a#uar, 15 A!t!o#al ash shortae !# a#uar, A"ust!# E#tr!es Ba#0 Chares -ee!%able rom Emplo,ees (or Loss) Cash &otes -ee!%able P <222 199222 P7<:222 (112222) P13:222 (57222) P 5222 .<. 1522 173522 126222 19222 Problem 9 (Pamela Ma#uatur!# Compa#,) U#a"uste ba#0 bala#e Outsta#!# he0s &o%ember 32 ;eember 31 ;epos!ts !# tra#s!t &o%ember 32 ;eember 31 Che0 o Pamplo#a Compa#, A"uste Bala#es &o%. 32 :6:52 (75<:72) 16<772 :6752 &o%. 32 71952 7:22 (3522) (3<922) :6752 919:72 (16<772) 72912 919:72 -ee!pts 919:72 (532) 621612 ;!sburseme#ts 613212 (3522) 7752 (3<922) 7<:52 621612 -ee!pts 9153:62 ;!sburseme#ts. 576552 (75<:72) 335612 ;e. 31 1523962 (335612) 72912 532 133362 ;e. 31 1<2:662 7:22 (7752) (7<:52) 133362 Bala#e per boo0s Error !# reor!# he0 #o. 359 Ba#0 ser%!e hare &o%ember ;eember &* he0 retur#e !# &o%ember I#terest hare b, the ba#0 A"uste Bala#es Au!t a"ust!# e#tr!es Cash !# Ba#0 O!e ur#!ture Ba#0 *er%!e Chare Cash !# Ba#0 I#terest E+pe#se Cash !# Ba#0 7:22 7752 7752 7<:52 7<:52 7:22 32

Chapter 3 Cash Problem 12 (ole# Bells Compa#,) U#a"uste ba#0 bala#e ;epos!ts !# tra#s!t &o%ember 32 ;eember 31 Outsta#!# he0s &o%ember 32 ;eember 31 Erro#eous ba#0 hares &o%ember 32 ;eember 31 Erro#eous ba#0 re!t &o%ember 32 ;eember 31 A"uste bala#es &o%. 32 7522222 5222 (9:222) 75222 (<5222) 7<<1222 &o%. 32 7392222 (15222) (12222) :6222 7<<1222 (:6222) <222 771<222 (52222) 771<222 -ee!pts 7726222 (75222) (3:222) (<5222) 156:222 ;!sburseme#ts 15<9222 (15222) 75222 (12222) 1222 (52222) 32222 ;e. 31 32<:222 (75222) (1222) <222 32222 3:222 -ee!pts 7322222 (5222) <:222 (9:222) <6222 ;!sburseme#ts 1:22222 ;e. 31 3122222 <:222 (<6222) U#a"uste boo0 bala#es (s$ueee) &* he0s retur#e b, ba#0 &o%ember 32 ;eember 31 Ba#0 ser%!e hares &o%ember ;eember &ote ollete b, ba#0 &o%ember ;eember A"uste bala#es 156:222 Aou#ts -ee!%able Cash !# Ba#0 Ba#0 *er%!e Chares G M!sella#eous E+pe#ses Cash !# Ba#0 Cash !# Ba#0 &otes -ee!%able 75222 75222 1222 1222 <222 <222 31

Chapter 3 Cash Problem 11 (*tarr Compa#,) U#a"uste ba#0 bala#e ;epos!ts !# tra#s!t Apr!l 32 Ma, 31 (s$ueee) Outsta#!# he0s Apr!l 32 Ma, 31 A"uste bala#es Apr. 32 <:2362 79362 (1<<22) 35<972 9<<22 Ma, 1'31 -ee!pts 65<<22 Ma, 1'31 -ee!pts ;!sb. 3722 1372622 (79362) <2562 (1<<22) 133622 1329<22 Ma, 31 37962 <2562 (133622) (6222) U#a"uste boo0 bala#es (s$ueee) ;AI he0s retur#e b, ba#0 Apr!l 32 Ma, 31 Ba#0 ser%!e hares Apr!l Ma, Che0 !ssue b, the treasurer to h!msel Proees o loa# ra#te b, ba#0 Ma, A"uste bala#es 6717<2 = 613172 4 222 4 172 (a) 1. 7. 3. <. P3632<2 P<2562 P696222 P(6222) Apr. 32 3632<2 (222) (172) ;!sb. 6717<2 (222) (172) 72 696222 Ma, 31 396722 (72) (696222) 7<2222 (6222) 35<972 7<2222 9<<22 1329<22 (b) A"ust!# e#tr!es Ba#0 *er%!e Chares Cash !# Ba#0 Loss rom ThetG-ee!%able rom O!ers Cash !# Ba#0 Cash !# Ba#0 &otes Pa,able 8 Ba#0 72 72 696222 696222 7<2222 7<2222 37

Chapter 3 Cash Problem 17 (-o0, Mou#ta!# H!h) U#a"uste ba#0 bala#e ;epos!ts !# tra#s!t &o%ember 32 ;eember 31 (127222 8 17222) Pa,me#t rom ollet!o#s Outsta#!# he0s &o%ember 32 ;eember 31 = 67222 4 125222 4 32222 4 <2222 A"uste bala#es &o%. 32 P22 1<922 -ee!pts P555522 (1<922) 92222 17222 ;!sburseme#ts P666622 ;e. 6 92222 17222 (116722) (116722) 971522 &o%. 32 971522 971522 52622 -ee!pts 52622 52622 73:222 :99<22 ;!sburseme#ts 5:1<22 77222 :99<22 (73:222) 632:22 ;e. 6 5:22 (77222) 632:22 U#a"uste boo0 bala#es (s$ueee) Ba#0 hares !# ;eember (722222 4 7222) A"uste bala#es A#s/ers (a) P1<922 (b) P116722 () P971522 () P632:22 Problem 13 1. 7. 3. <. 5. A; C . B  E H  & 6. M P :. I L . F O 9. ; H 12. B  11. 17. 13. 1<. 15. ;  A ;   ;   & 16. I L 1:. &ot a reo#!l!# !tem 1.  & 19. L & 72. & O Problem 1< (Co#tro#!s Compa#,) Pett, Cash u# P 15222 (6222) P9222 Purhas!# u# P 35222 (72222) P15222 Cash !# Ba#0 P13<522 5222 197522 Total P1<522 (76222) 5222 P716522 Bala#es per leer ;!sburse !# 7217 Ba#0 re!t memo Bala#es per au!t A"ust!# e#tr!es asol!#e E+pe#se M!sella#eous E+pe#ses Tra#sportat!o# E+pe#se Pett, Cash u# Purhases or I#%e#tor, Purhas!# u# Cash !# Ba#0 &otes -ee!%able <522 522 1222 6222 72222 5222 5222 72222 33

Chapter 3 Cash Problem 15 (ortu#e Compa#,) (a) Au!t A"ustme#ts *ales Cash Cash Ut!l!t!es Pa,able Aou#ts -ee!%able Cash Aou#ts -ee!%able Cash &o e#tr, !%!e# u# !s part o ash. Aou#ts -ee!%able Cash Cash *hortaeG -ee!%able rom Emplo,ees Cash &o e#tr, pa,roll u# !s part o ash. Cash *hortae G -ee!%able rom Emplo,ees M!sella#eous E+pe#ses Cash Cash M!sella#eous I#ome (b) Corret amou#t o ash Cash bala#e per leer Cash sales o 7213 U#release he0 or ut!l!t!es Postate he0s ree!%e Customers? &* he0s *tale he0 *hortae !# the ha#e u# 7217 %ouhers !# pett, ash u# Cash shortae !# the pett, ash u# U#reore epos!ts (sale o srap) Cash bala#e per au!t P16<2222 (75722) 19322 (5:22) (37522) (3522) (552) (5522) (322) 13522 17:<52 322 5522 522 13522 13522 3522 3522 552 552 5:22 5:22 37522 37522 75722 19322 75722 19322 *uppl, the A#s/ers &ote to the Teaher Please suppl, the pett, ash !mprest bala#e o a#other !ure or %ar!at!o# !# ,our other lasses.) *ummar, o A#s/ers 1. 7. 32.<2 <626.62 P52222 !# problem B. (ou ma, suppl, 3<

Chapter 3 Cash 3. <. 5. 6. :. . 9. 12. 11. 17. 13. 1<. 15. 16. 1:. 1. 19. 72. 71. 77. 73. 7<. 5222 shortae 35222 22 5:22 <22 5322 5322 3622 15:952 :2652 or :61652 (&* he0s ma, be treate as eut!o# rom ree!pts) 675:22 or 626:22 (&* he0s ma, be treate as eut!o# rom ree!pts) 3222 97222 1<5622 :1952 17717 !mprest s,stem 8 epos!t o ollet!o#s !#tat to the ba#0 sereat!o# o ut!es o usto!al u#t!o# a# boo00eep!# u#t!o# 175752 19<552 755:22 55222 *UPPO-TI& COMPUTATIO&* A. 1. Total per ou#t Cash!er?s aou#tab!l!t, Pett, ash u# Postae stamps Other ollet!o#s Cash shortae Corret pett, ash u# = 1156.62 4 3<52 Total per ou#t Cash!er?s aou#tab!l!t, Pett, ash u# Che0 pa,able to Meralo B!rtha, !t o#tr!but!o# U#use postae Cash shortae Corret pett, ash u# = P1:222 4 P1222 Total per ou#t Cash!er?s aou#tab!l!t, Pett, ash u# U#epos!te ollet!o#s Cash shortae B!lls a# o!#s Customers? he0s U#epos!te ollet!o#s Pett, ash u# per au!t P 12:61.62 P 12522 772 352 112:2 P32.<2 P<626.62 P 53522 7. B. 3. P 52222 3522 <522 522 5522 P 5222 P35222 P19:22 <. C. 5. P 15222.22 5522.22 72522 P 22 P6<22 <22 (5522) P5:22 6. 35

Chapter 3 Cash ;. :. Total per ou#t (e+lue the u#s!#e pa, e#%elope /!th #o o#te#ts) Cash!er?s aou#tab!l!t, Pett, ash u# P15222 U#release pa,roll 5222 Cash shortae B!lls a# o!#s >ouhers /!th a#uar, 7213 ates Emplo,ee?s he0 ate ;eember 7217 Total ash !tems as o ;eember 31 U#release pa,roll Corret pett, ash bala#e o# ;eember 31 P 19622 72222 P <22 P:322 722 722 P12322 (5222) P5322 . E. 9. U#a"uste bala#es Ba#0 re!t memo Ba#0 eb!t memo Outsta#!# he0s Che0 o F!# Error !# reor!# he0 Cash o# ha# Bala#es beore ash shortae Cash shortae Cash bala#e per au!t Ba#0 P52222 (172<22) 71222 Boo0s P:52522 152222 (<522) (3622) 222 P3622 P3622 12. P97<22 ( 5322) P3622 . U#a"uste bala#es per ba#0 Outsta#!# he0s a#uar, 31 ebruar, 7 ;epos!ts !# tra#s!t a#uar, 31 ebruar, 7 A"uste bala#es U#a"uste bala#es per boo0s Ba#0 re!t memo a#uar, ebruar, Ba#0 ser%!e hares a#uar, ebruar, &* he0s retur#e b, ba#0 a#uar, ebruar, A"uste bala#es a#uar, 31 13522 (65222) 5<522 3222 a#uar, 31 (97752) 173522 (3752) (75222) 3222 -ee!pts :92<52 ;!sburseme#ts 6<::22 (65222) <3222 eb. 7 156752 (<3222) <<:22 15:952 eb. 7 722 922 (5<522) <<:22 :2652 -ee!pts 25352 (173522) 922 675:22 ;!sburseme#ts 632322 (3752) <652 (75222) 19222 675:22 (<652) (19222) 15:952 :2652 36

Chapter 3 Cash . 15. U#a"uste !sburseme#ts Outsta#!# he0s &o%ember 32 Customers? &* he0s &o%ember ;eember Ba#0 ser%!e hares &o%ember ;eember Bala#es beore outsta#!# he0s ;eember 31 Outsta#!# he0s ;eember 31 H. 16. U#a"uste ree!pts !# u#e Collet!o#s mae !retl, b, ba#0 !# Ma, ;epos!ts !# tra#s!t Ma, 31 Loa#s ra#te b, ba#0 !# u#e Error !# reor!# epos!t Bala#es beore epos!ts !# tra#s!t u#e 32 ;epos!ts !# tra#s!t u#e 32 I. U#a"uste bala#es Cre!t memo or ollet!o#s b, ba#0 Outsta#!# he0s U#epos!te ree!pts Bala#es beore shortae Amou#t stole# Atual ash e+!st!# ;eember ;!sburseme#ts Per ba#0 Per boo0s P195222 P192<22 (92222) (6222) 17222 (7<22) 3222 P19:222 125222 P97222 P125222 u#e -ee!pts Per ba#0 Per boo0s P312222 <72222 (32322) (15222) 52222 922 P795222 P<<2622 795222 P1<5622 Per ba#0 1555222 (126779) 3:9<<1 P17717 P17717 Per boo0s 192167 12222 P1922167 (:1952) P17717 1:. 1. 19. a# 72. . 77. eatures o !#ter#al o#trol m!ss!# Imprest s,stem a# sereat!o# o ut!es Per ba#0 P352222 (75222) (19<552) Per boo0s P793522 15222 3:722 (52222) 175752 P755:22 P755:22 15222 P312:22 (55222) P755:22 71. 7<. 73. U#a"uste bala#es Erro#eous ba#0 re!t Outsta#!# he0s (7<6:52 8 15222 8 3:722) U#release he0s Postate he0s !ssue a# reore as !sburseme#ts Customer?s postate he0 ;epos!ts !# tra#s!t (1:5752 8 52222) &ote ollete b, ba#0 Bala#es beore ash shortae Cash shortae Atual ash e+!st!# 3: