Question
Chapter 3-Cash Problem 4 You examined the petty cash fund of the Victor Company immediately after the close of business on June 30, 2021,
Chapter 3-Cash Problem 4 You examined the petty cash fund of the Victor Company immediately after the close of business on June 30, 2021, the end of the company's fiscal year. Your audit showed the following fund composition: Currencies Coins Petty cash vouchers: Gasoline payments for delivery vehicle Office supplies Medicines for employees Transportation Office equipment repairs Loans to employees P7,500 400 250 160 240 400 400 1,800 A check drawn by the company payable to the order of the petty cash custodian, representing her salary An employee's check returned by the bank because of insufficient funds A piece of paper with names of several employees together with a contribution for a wedding gift for an employee. Attached to the sheet of paper are currencies amounting to The petty cash general ledger account has an imprest balance of P15,000. REQUIRED: 6,800 3,200 NSF 3,500 (a) What amount of petty cash fund should be included as part of Cash in the June 30, 2021 statement of financial position? 7,160 (b) How much was the cash shortage or overage? (c) Prepare the necessary audit adjusting entries.
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