NAME ACC 104 SP 18 DUE FRIDAY 4/13/2018, 1PM EHOME EXAM CHAPTERS 6 THROUGH follo
ID: 2523173 • Letter: N
Question
NAME ACC 104 SP 18 DUE FRIDAY 4/13/2018, 1PM EHOME EXAM CHAPTERS 6 THROUGH following transactions affecting the 2. (10 POINTS) A company rienced the Fol company pstablished a petty cash fund in February of the current year and Feb 1 Established a $250 petty cash fund fund during February: 3Paid $55 to acquire office supplies. 8 Reimbursed the company 18 Paid $45 for postage. controller for $30 spent on beverages for recruits Paid $65 for C.O. D. charges 25 Paid $50 for janitorial services on merchandise inventory there was $245 in receipts and $10 cash remaining. Also, a decision was made to reduce the fund to $200 in total 28 When sorting the petty cash receipts to replenish the fund, the custodian noted that Prepare the journal entries to (a) establish the petty cash fund on February 1, and (b) to reimburse the fund and to reduce its amount on February 28.Explanation / Answer
Date
Accounts Title & Explanation
Debit
Credit
Feb. 1
Petty Cash
$250
Cash
$250
(For recording establish of petty cash fund)
Feb. 28
Office Supplies
$55
Entertainment Expenses
$30
Postage Expenses
$45
Mercandise Inventory
$65
Janitorial Expense
$50
Cash Over or Short ($245 + $10 - $250)
$5
Petty Cash ($250 - $200)
$50
Cash
$190
(For recording reimbursement the fund and to reduce it’s amount)
Date
Accounts Title & Explanation
Debit
Credit
Feb. 1
Petty Cash
$250
Cash
$250
(For recording establish of petty cash fund)
Feb. 28
Office Supplies
$55
Entertainment Expenses
$30
Postage Expenses
$45
Mercandise Inventory
$65
Janitorial Expense
$50
Cash Over or Short ($245 + $10 - $250)
$5
Petty Cash ($250 - $200)
$50
Cash
$190
(For recording reimbursement the fund and to reduce it’s amount)
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