Problem 1-9 (AICPA Adapted)
Burr Company had the following account balances on December 31, 2024:
Cash in bank 2,250,000
Cash on hand 125,000
Cash restricted for addition to plant in January 2025 1,600,000
Cash in bank included P600,000 of compensating balance against short-term
borrowing arrangement. The compensating balance is not legally restricted as to
withdrawal.
What total amount should be reported as cash under current on December 31, 2024?
a.1,775,000
b,2,375,000
c. 3,375,000
d. 3,975,000
This study source was downloaded by 100000899194722 from CourseHero.com on 05-30-2025 14:23:04 GMT -05:00
https://www.coursehero.com/file/249174645/Problem-1-9-INTACC-1pdf/
Burr Company had the following account balances on December 31, 2024:
Cash in bank 2,250,000
Cash on hand 125,000
Cash restricted for addition to plant in January 2025 1,600,000
Cash in bank included P600,000 of compensating balance against short-term
borrowing arrangement. The compensating balance is not legally restricted as to
withdrawal.
What total amount should be reported as cash under current on December 31, 2024?
a.1,775,000
b,2,375,000
c. 3,375,000
d. 3,975,000
This study source was downloaded by 100000899194722 from CourseHero.com on 05-30-2025 14:23:04 GMT -05:00
https://www.coursehero.com/file/249174645/Problem-1-9-INTACC-1pdf/
