On March 1, The Party Place creates a petty cash fund with a balance of $325 During March, Sue Bemis, the fund custodian, signs the following petty cash tickets On March 31, prior to replenishment, the fund contains these tickets plus cash of $23 The accounts affected by petty cash payments are Off...

Req 1 DATE Mar Req 2 DATE Mar DATE 1 Petty cash Apr ACCOUNTS Cash Open the pet ...

On March 1, The Party Place creates a petty cash fund with a balance of $325. During

Question:

On March 1, The Party Place creates a petty cash fund with a balance of $325. During March, Sue Bemis, the fund custodian, signs the following petty cash tickets:

Petty Cash Ticket Number 101 102 103 104 Item Amount $102 42 21 106 Office supplies Cab fare for executive Delivery of p

On March 31, prior to replenishment, the fund contains these tickets plus cash of $23. The accounts affected by petty cash payments are Office Supplies Expense, Travel Expense, Delivery Expense, and Entertainment Expense.

Requirements
1. Record the journal entry to create the petty cash fund.
2. Record the journal entry to replenish the petty cash fund on March 31. Do you have any concerns regarding the Cash Short and Over account?
3. Make the April 1 entry to increase the fund balance to $350. Include an explanation, and briefly describe what the custodian does when the balance is increased?