Childers Company has an established petty cash fund in the amount of $500. The f
ID: 2447932 • Letter: C
Question
Childers Company has an established petty cash fund in the amount of $500. The fund was last reimbursed on November 30. At the end of December, the fund contained the following petty cash receipts: December 4 Freight charge for merchandise purchased $ 54 December 7 Delivery charge for shipping to customer $ 78 December 12 Purchase of office supplies $ 43 December 18 Donation to charitable organization $ 62 If, in addition to these receipts, the petty cash fund contains $253.50 of cash, the journal entry to reimburse the fund on December 31 will include:
Explanation / Answer
Total receipts = 54 + 78 + 43 +62+ 253.5 = $ 490.5
Fund requirement = 500
Reimburse = 500 -490.5 = 9.5
Date Title Debit credit dec 31 Petty cash Fund 9.50 cash 9.50 [being petty cash fund reimbursed]Related Questions
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