Problem - Leo Company has just received the August 31, 2016 bank statement which is summarized below:
|
Balance, August 1
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P 93,690
|
|
Deposits during August
|
320,000
|
|
Note collected for depositor, including P360 interest
|
10,360
|
|
Checks cleared during August
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(344,000)
|
|
Bank service charges
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(500)
|
|
Balance, August 31
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P 79,550
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The general ledger cash account had the following entries for the month of August, 2015:
CASH
Balance, August 1 - 97,290
Disbursements in August - 349,000
Receipts during August - 350,000
All outstanding checks as of July 31, 2016 amounting to P6,400 cleared the bank in August. Deposits in transit at August 31, totaled P40,000.
REQUIRED- Determine the following:
a) Outstanding checks at August 31, 2016.
b) Deposits in transit at July 31, 2016.