The bank statement for the current account of CARTRIDGE Co.

Showed a
December 31, 2016, balance of P585,284. Information that might be useful in
preparing a bank reconciliation is as follows:
a.) Outstanding checks were P52,810
b.) The December 31, 2016 cash receipts of P23,000 were not deposited in the
bank until January 2, 2016.
c.) One check written in payment of rent P8,940 was correctly recorded by the
bank but was recorded by CARTRIDGE as P9,840.
d.) In accordance with prior authorization, the bank withdrew P18,000 directly
from the current account as payment of a mortgage note payable. The
interest portion of that payment was P14,000. Cartridge has made no entry to
record the automatic payment.
e.) Bank service charges of P740 were listed on the bank statement.
f.) A deposit of P35,000 was recorded by the bank on December 12, but it did
not belong to Cartridge.
g.) The bank statement included a charge of P3,400 for a not-sufficient-fund
check. The company will seek payment from the customer.
h.) Cartridge maintains an P8,000 petty cash fund that was appropriately
reimbursed at the end of December.
i.) According to instructions from Cartridge on December 30, the bank
withdrew P40,000 from the account and purchased treasury bills for
Cartridge. The company recorded the transaction in its books on December
31 when it received notice from the bank. Half of the treasury bills mature in
three months and the other half in six months.

1.) What is the cash in bank balance per books on December 31, 2016?
A. P549,714
B. P543,514

C. P534,914
D. P541,714
2.) What is the adjusted cash in bank balance on December 31, 2016?
A. P520,474
B. P527,274
C. P518,674
D. P520,154
3.) What amount would Cartridge report as cash and cash equivalents in the
current assets section of the December 31, 2016, statement of financial
position?
A. P928,474
B. P728,474
C. P720,474
D. P735,274