How much should volume report as cash in december

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Reference no: EM132786805

Volume Company had the following cash balance at December 31, 2020:

Undeposited coins and currency P 35,000

Unrestricted demand deposits 1,450,000

Company checks written (and deducted from the demand deposits amount) but not scheduled to be mailed until January 2 270,000

Time deposits restricted for use (expected use in 2021) 3,000,000

In exchange for a guaranteed line of credit, Volume has agreed to maintain a minimum balance of P150,000 in its unrestricted demand deposits account.

Problem 1: How much should Volume report as "Cash" in its December 31, 2020 statement of financial position?

a. P1,755,000

b. P3,305,000

c. P3,270,000

d. P4,755,000

Reference no: EM132786805

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