Clooney Corp. establishes a petty cash fund for $200 and issues a credit card to

Question

Clooney Corp. establishes a petty cash fund for $200 and issues a credit card to its office manager. By the end of the month, employees made one expenditure from the petty cash fund (entertainment, 525) and three expenditures with the credit card (postage, $44; delivery, $69; supplies expense, $34 Record all employee expenditures, and record the entry to replenish the petty cash fund. The credit card balance will be paid later. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list View journal entry worksheet No Transaction General Journal Debit Credit Entertainment expense Postage expense Delivery expense Supplies expense 25 69 34 Petty cash 28 Petty cash 28 Cash 28

Explanation / Answer

Transaction

General Journal

Debit

Credit

1

Entertainment Expense

$    25.00

Postage Expense

$    44.00

Delivery Expense

$    69.00

Supplies expense

$    34.00

             Petty Cash

$    25.00

             Credit card

$ 147.00

2

Petty Cash

$    25.00

          Cash

$    25.00

Only $25 was withdrawn from petty cash so only $25 will be added when petty cash is replenished.

Other expenses of $147 (44+69+34) are paid through credit card so a credit card liability is created for $147 which will be paid later.

Transaction

General Journal

Debit

Credit

1

Entertainment Expense

$    25.00

Postage Expense

$    44.00

Delivery Expense

$    69.00

Supplies expense

$    34.00

             Petty Cash

$    25.00

             Credit card

$ 147.00

2

Petty Cash

$    25.00

          Cash

$    25.00

Related Questions

Navigate

• Browse (All)
• Browse C
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.