A debit cash mds regular p7520000 and credit subsidy

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A. Debit Cash-MDS, Regular P7,520,000 and Credit Subsidy Income from National Government P7,520,000. B. Debit Machinery P8,000,000 and Credit Accounts Payable P8,000,000 C. Debit Accounts Payable P8,000,000 and Credit Due to BIR P480,000 and Cash-MDS, Regular P7,520,000. D. Debit Due to BIR P480,000 and Credit Subsidy Income from National Government P480,000. Number 91 Department of Health (DOH) received Notice of Cash Allocation in the amount of P100,000 from Department of Budget and Management. DOH made a total cash disbursements in the amount of P95,000. What is the journal entry to recognize reversion of unused Notice of Cash Allocation by DOH in its books? A. Debit Subsidy Income from National Government P5,000 and credit Cash-MDS, Regular P5,000. B. Debit Retained Earnings of DFA P5,000 and credit Cash-MDS, Regular P5,000. C. Debit Expenses of DFA P5,000 and credit Cash-MDS, Regular P5,000. D. Debit Investment of DFA P5,000 and credit Cash-MDS, Regular P5,000. Number 92 The Bureau of Treasury received P20,000 cash remittance from Department of Agrarian Reform (DAR) from its miscellaneous income. What is the journal entry of the Bureau of Treasury in its accounting books to record the receipt of cash remittance from the income of a national government agency? A. Debit Cash in Bank, Local Bank P20,000 and Credit Cash-Treasury/Agency Deposit, Regular P20,000.
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B. Debit Cash in Bank, Local Bank P20,000 and Credit Miscellaneous Income of DA P20,000. C. Debit Cash in Bank, Local Bank P20,000 and Credit Savings of DA, Regular P20,000. D. Debit Cash in Bank, Local Bank P20,000 and Credit Cash-Collecting Officer, DA P20,000. Page 30 Number 93 (Foreign currency transaction) On September 1, 2018, Bain Company received an order for equipment from a foreign customer for 300,000 local currency units (LCU) when the US dollar equivalent was $96,000. Bain shipped the equipment on October 15, 2018, and billed the customer for 300,000 LCU when the US dollar equivalent was $100,000. Bain received the customer remittance in full on November 16, 2018, and sold the 300,000 LCU for $105,000. In the income statement for the year ended December 31, 2018, what amount should Bain report as part of net income a foreign exchange transaction gain? A. $ 0 B. $4,000 C. $5,000 D. $9,000 Number 94 (Foreign currency transaction) On September 1, 2018, Cano Company, a US corporation, sold merchandise to a foreign firm for 250,000Botswana pula. Terms of the sale require payment in pula on February 1, 2019.. On September 1, 2018, the spot exchange rate was $.20 per pula. At December 31, 2018, Cano’s year-end, the spot rate was $.19, but the rate increased to $.22 by February 1, 2019, when payment was received. How much should Cano report as foreign exchange transaction gain or loss as part of 2019 income? A. $ 0 B. $2,500 loss C. $5,000 gain D. $7,500 gain Number 95 (Foreign currency transaction) Hunt Company purchased merchandise for £300,000 from a vendor in London on November 30, 2018. Payment in British pounds was due on January 30, 2019. The exchange rates to purchase one pound were as follows: November 30, 2018 December 31, 2018 Spot-rate $1.65 $1.62 30-day rate 1.64 1.59 60-day rate 1.63 1.56 In the income statement, what amount should Hunt report as foreign exchange transaction gain as part of net income?
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