account for merchandise inventory.

February 2	Wrote a $350 check to establish a petty cash fund.
February 5	Purchased paper for the copier for $14.55 that is immediately used.
February 9	Paid $40.50 shipping charges (transportation-in) on merchandise purchased for resale, terms FOB shipping point. These costs are added to merchandise inventory.
February 12	Paid $7.15 postage to deliver a contract to a client.
February 14	Reimbursed Adina Sharon, the manager, $67 for mileage on her car.
February 20	Purchased office paper for $68.77 that is immediately used.
February 23	Paid a courier $22 to deliver merchandise sold to a customer, terms FOB destination.
February 25	Paid $11.30 shipping charges (transportation-in) on merchandise purchased for resale, terms FOB shipping point. These costs are added to merchandise inventory.
February 27	Paid $54 for postage expenses.
February 28	The fund had $24.85 remaining in the petty cashbox. Sorted the petty cash receipts by accounts affected and exchanged them for a check to reimburse the fund for expenditures.
February 28	The petty cash fund amount is increased by $130 to a total of $480.

Required: 1. Prepare the journal entry to establish the petty cash fund. 2. Prepare a petty cash payments report for February with these categories: delivery expense, mileage expense, postage expense, merchandise inventory (for transportation-in), and office supplies expense. 3. Prepare the journal entries for required 2 to both (a) reimburse and (b) increase the fund amount.