Answered step by step
Verified Expert Solution
Question
1 Approved Answer
d Required information [The following information applies to the questions displayed below.] Service World maintains a petty cash fund. The fund custodian encountered the
d Required information [The following information applies to the questions displayed below.] Service World maintains a petty cash fund. The fund custodian encountered the following events. a. The fund was established when a check for $360 was cashed and deposited into a locked cash box. b. An employee submitted a receipt for a customer delivery costing $32 and was reimbursed in full from petty cash. c. Another employee submitted a receipt for $72 for locksmith repairs to the office door and was reimbursed in full from petty cash. d. An employee submitted a receipt for newspaper advertising that cost the company $62. She was given $62 from the petty cash box. e. The petty cash custodian received and cashed a check that fully replenished the petty cash fund. f. An employee submitted a receipt for $47 for supplies and was reimbursed in full from petty cash. g. An employee submitted a receipt for $77 for filling up his personal vehicle. He was not reimbursed because it would violate company policy. h. At the end of the month, a check was given to the petty cash custodian to not only replenish the petty cash fund but also increase the total fund to $490. 2. If Service World has $1,600 cash, $600 of government Treasury bills purchased last month with a six-week maturity, $870 of cash set aside for legal reasons, how much will the company report on the balance sheet as "Cash and Cash Equivalents"?
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored 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