Question

Specter Co. combines cash and cash equivalents on the balance sheet. Using the following information, determine the amount reported on the year-end balance sheet for cash and cash equivalents.

$21,000 cash deposit in checking account.
$56,000 bond investment due in 20 years.
$14,000 U.S. Treasury bill due in 1 month.
$1,100, 3-year loan to an employee.
$4,600 of currency and coins.
$1,400 of accounts receivable.

a. Checking account:
b. Bond investment:
c. U.S. Treasury bill:
d. Loan to an employee:
e. Currency and coins:
f. Accounts receivable:
g. Cash and cash equivalents:

Answer 1

Cash and cash equivalent is $ 39,600.00

Step-by-step explanation:

The amount of checking account is the cash deposit of $21,000 in the checking account

The balance of bond investment is $56,000 invested in the 20-year bond

U.S Treasury bill is $14,000 due in 1 month

Loan to an employee is $1,100

Currency and coins' balance is $4,600

Account receivable is $1,400

cash and cash equivalent=Checking account+ U.S. Treasury bill+Currency and coins

Cash and cash equivalent=$21,000+$14,000+$4,600=$ 39,600.00