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EcoMart establishes a $1,550 petty cash fund on May 2 . On May 30, the fund shows $600 in cash along with recelpts for the
EcoMart establishes a $1,550 petty cash fund on May 2 . On May 30, the fund shows $600 in cash along with recelpts for the following expenditures: transportation-in, \$140; postage expenses, $479; and miscellaneous expenses, $340. The petty cashier could not account for a $9 overage in the fund. The company uses the perpetual system in accounting for merchandise inventory. Prepare the (1) May 2 entry to establish the fund, (2) May 30 entry to reimburse the fund [Hint. Credit Cash Over and Short for $9 and credit Cash for $950), and (3) June 1 entry to increase the fund to $1,800
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