DigDug Corporation had outstanding checks totaling $5,520 on its June bank reconciliation. In July, DigDug issued checks totaling $40,100. The July bank statement shows that $28,100 in checks cleared the bank in July. The amount of outstanding checks on DigDug's July bank reconciliation should be:

$5,520.

$12,000.

$6,480.

$17,520.

A company plans to decrease a $400 petty cash fund to $175. The current balance in the account includes $135 in receipts and $365 in currency. The entry to reimburse and reduce the size of the petty cash fund will include a:

rev: 10_26_2015_QC_CS-30998

debit to Petty Cash for $175.

debit to Petty Cash for $135.

debit to Cash for $190.

credit to Cash for $190.