y might sell its receivables to another company.

Question

5. XYZ Enterprises owns the following assets at December 31, 2015.
Cash in bank—savings account €68,000
Checking account balance €17,000
Cash on hand 9,300
Postdated checks 750
Tax refund due 31,400
Certificates of deposit (180-day) 90,000
What amount should be reported as cash?

Answer 1

The amount that should be reported as cash is €94,300. This includes the cash in bank, checking account balance, cash on hand, and postdated checks. The tax refund due and certificates of deposit are not considered part of the cash balance.