Answered step by step
Verified Expert Solution
Question
1 Approved Answer
A company establishes a petty cash fund on August 3 for $420. The fund is replenished at the end of each month. The company has
A company establishes a petty cash fund on August 3 for $420. The fund is replenished at the end of each month. The company has also issued a credit card for its office manager to make more substantial purchases. At the end of August, the following purchases have been made: Petty Cash Fund Delivery fees Plumbing maintenance Postage Flowers for the office $110 71 49 58 $ 288 Credit Card Equipment $1,700 Advertising 850 Supplies 320 $2,870 Record the establishment of the petty cash fund on August 3. On August 31, record the petty cash expenditures during the month and the employee credit card expenditures during the month. Note: the credit card balance will not be paid until the following month. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.) View transaction list Journal entry worksheet 1 2 3 > Record the expenses paid out of the petty cash fund. Note: Enter debits before credits. Date General Journal Credit Debit 1101 August 31 IDeliverv Expense $288 $2,870 Record the establishment of the petty cash fund on August 3. On August 31, record the petty cash expenditures during the month and the employee credit card expenditures during the month. Note: the credit card balance will not be paid until the following month. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.) Journal entry worksheet 2 3 > Record the expenses paid out of the petty cash fund. Note: Enter debits before credits. Date General Journal Debit Credit August 31 110 71 29 Delivery Expense Repairs and Maintenance Expense Postage Expense Miscellaneous Expense Petty Cash Accounts Payable 58
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access with AI-Powered Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started