Answer:
a) Cash to be reported by Eastwood = $6,618,700
b) Indication of items :
3- Travel allowance (reimbursed) $180,000 Accounts Receivable
4- Cash Restricted for long term debt $1,500,000 Other Assets( non-current asset)
6) Company customer $190,000 Accounts receivable
8) Certificates of deposits(500000*2) $1,000,000 Certificate of Asset(current asset)
9) Outstanding check $125,000 Accounts receivable
11) Commercial paper $2,100,000 Commercial paper (current asset)
Explanation:
a) Amount Cash to be reported
1) Savings Account $600,000
Checking Account $900,000
Total First National Bank $1,500,000
2) Money market $5,000,000
5) Petty Cash $ 1,000
7) Bank overdraft -$ 110,000
12) Currency and Coins on hand $ 7,700
TOTAL CASH $6,618,700