ACC 557 TUTOR Education Terms/acc557tutor.com ACC 557 TUTOR Education Terms/acc557tutor.com | Page 37

were purchased. The stock investments will be sold in the next 6 to 12 months. The plant expansion project will begin in 3 years. What amount should Nayak report as ―Cash and cash equivalents‖ on its balance sheet? ............ P7-3A: On May 31, 2014, Terrell Company had a cash balance per books of $6,781.50. The bank statement from Home Town State Bank on that date showed a balance of $6,804.60. A comparison of the statement with the cash account revealed the following facts. ............ a) Prepare the bank reconciliation at May 31, 2014. ............ b) Prepare the necessary adjusting entries for Terrell Company at May 31, 2014............ =================================================== ACC 557 Week 5, Chapter 8 (E8-3, E8-5, E8-14, P8-7A) FOR MORE CLASSES VISIT www.acc557tutor.com ACC 557 Week 5, Chapter 8 (E8-3, E8-5, E8-14, P8-7A) E8-3: The ledger of Elburn Company at the end of the current year shows Accounts Receivable $110,000, Sales Revenue $840,000, and Sales Returns and Allowances $28,000. ............ E8-5: At December 31, 2013, Crawford Company had a balance of $15,000 in Allowance for Doubtful Accounts. During 2014, Crawford wrote off accounts totaling $14,100. One of those accounts ($1,800) was later collected. At December 31, 2014, an aging schedule indicated that the balance in Allowance for Doubtful Accounts should be $19,000. ............