1. Identify the correct Petty Cash entries for Cuervo, Inc: HIGHLIGHTED IS ANSWER

January 1 - Petty Cash fund in the amount of $500 is established by writing a check.

a. Debit Checking, Credit Petty Cash b. Debit Petty Cash, Credit Sales

c.Debit Petty Cash, Credit Checking d. Debit Checking, Credit Petty Cash

January 8 - Petty cash is reimbursed for the following expenses: Postage - $88, Office Supplies - $114, Gas for Company Vehicle - $208. At the time petty cash is replenished, there is $80 cash in the fund.

a. Debit Petty Cash $420, Credit Checking $420

b. Debit Postage $88, Debit Office Supplies $114, Debit Gas $208,

and Credit Checking $ 420

c. Debit Petty Cash $10 and Credit Cash Short $10

d. Debit Postage $88, Debit Office Supplies $114, Debit Gas $208,

Debit Cash Shortage $10 and Credit Checking $ 420

January 9 - The petty cash fund was increased to $600.

a. Debit Petty Cash $600 and Credit Checking for $600

b. Debit Petty Cash $100 and Credit Checking

c. Debit Checking $100 and Credit Petty Cash $100

d. Debit Petty Cash $100 and Credit Cash Over $100

2. Indicate whether each of the following transactions should be recorded in the Revenue Journal (R), Cash Receipts Journal (CR), Multi-column Purchases Journal (P), Cash Payments Journal (CP), or General Journal (G)

_____a. Purchase of supplies on account

_____b. Sale of merchandise on account

_____c. Received payment from a customer previously billed

_____d. Month-end adjustment of prepaid insurance

_____e. Payment of utility bill

_____f. Purchase of office equipment on account

_____g. Receipt of loan proceeds from bank

_____h. Purchase of inventory for cash

_____i. Sale of merchandise for cash